Renting vs. Owning in Virginia Beach: Which is Right for You?

Renting is something that most people view as a temporary part of life.  They hope that by the time they reach a certain age or a specific point in their career, they’ll be able to afford to live however they want and purchase a home: but does that mean it’s the right choice?

These are the top things to consider if you’re thinking about buying a home sometime soon! 

How Long Have You Worked at Your Job?

Although this doesn’t always matter, especially if you’re bringing in enough money, how long you’ve worked at your job can make a big difference in your approval ratings.  Lenders want to know that you have a stable career and that you’re a trustworthy person who’s worked hard and will continue to do so.  

The longer you’ve worked at your job, the more likely you’ll be approved for a good loan.  If you haven’t worked there long, you may want to consider renting for a year or two until you can build up this time.

Are You Able to Afford a Downpayment?

Down payments are a big deal!  These are generally 10 to 20% of your home’s value and can be extremely expensive.  Would you be able to afford this based on the houses you’re looking at?  If not, is this the first home you’ve bought?  First-time home buyers are often approved for perks that make it easier to buy a home, like having their down payment waived or getting it folded into their current loan.

How Long Do You Plan to Live Here?

Do you plan on living in this area for at least the next ten years?  If not, buying might not be a good idea for you.  You don’t make any equity on your home until you’ve owned it for at least five years.  Waiting until that ten-year mark to sell it will ensure you get some money back from this deal.

What’s Your Credit Score Look Like?

Is your credit score in rough shape?  There are fantastic apartments for rent in Virginia Beach that don’t care about credit scores as much: but you won’t find lenders with the same attitude.  It’s important to work hard on your credit score, and taking a couple of years to rent and build your score can help you in the long run.

Are You Expecting Any Large Financial Changes Soon?

Are there any financial changes coming up in your future?  Are you getting married?  Switching jobs?  Going back to school?  Consider how these will affect your ability to pay your mortgage.  If you aren’t sure, you can have both: consider which you want now and which you can put off for a little while.  Eventually, you’ll be able to have both!  Meanwhile, getting married can double your income and allow you to afford far more! 

Buying a Home is a Huge Decision!

When you’re on the market to buy a house, it’s important that you’re ready for everything that entails.  If you’re ready: buying a home in Virginia Beach could be the best decision you ever make!