The first thing you need to think about is affordability. Do you have the money to buy a new house? Can you pay the down payment? In order to avoid paying private mortgage insurance; it is best that you put down at least twenty to twenty-five percent of your home price. Giving a large down payment has its benefits, and you do not need to pay large mortgage payments in the coming future.

You should also consider how long you are going to stay in your new home; if you plan to stay for just a year or two. We recommend that you buy a much cheaper home so that you can instead save the money for your moving expenses.

If you are selling one house so that you can buy another, consider your other necessary expenses as well. Can you afford to pay the mortgage for your new home alongside your current expenses with your current income? Perhaps you can stay put for some time longer and focus on reducing your current expenses before buying a new home. Once you have enough money for your down payment, you will be financially prepared to buy a new home.

There are many more things to think about, if you change your home, will your children have to change their school? What about their school fees, will the new school be more expensive than the one your children go to right now?

If you are moving to a new city, consider your lifestyle expenses; places like New York and San Francisco cost a lot; will you be able to handle an increase in your daily expenses?

If you are looking to buy a new home and don’t have the money for it; there is nothing to worry about. Contact us at Red Door Funding to know more about our loan program. Call us at (832)-539-1099 to learn more.

Skip to content