So you’ve decided to take the plunge and buy a home. Perhaps you’re tired of paying rent or maybe renting feels like a waste of money with the cost of rent continuing to rise year after year.
Whatever your reasons for buying, there are good financial reasons to do so. Buying a home is one of the best long-term investments that you can make. Your home will likely increase in value over time and also help boost your credit score.
With some preparation, planning, and budgeting – as well as help from potential lenders – buying a home can be much more affordable than you think!
What You Should Know Before Buying a Home
If you’re interested in buying a home, you should know a few things about the process.
First, you’ll need to find a trustworthy real estate agent to help you throughout the process.
Second, get pre-approved for a mortgage. A mortgage is essentially a loan that you will use to finance the purchase of your home.
The lender will look at your income, debt-to-income ratio, and credit score to determine how much money you can borrow. If you plan on putting 20% down on your home, you’ll be required to get a mortgage in order to finance the rest.
You’ll also have to have a good idea of how much you can afford to spend on a home.
You can use online calculators to get an idea of how much you can afford to spend on a home and the size of the mortgage payment you can expect to make each month.
Here are 3 of the most affordable states to buy a home in:
Virginia is the second most affordable state to buy a home, and there are a few reasons for this. First, the median home price in Virginia is $253,900, which is $19,000 less than the national median home price.
The next reason is that the average salary for a Virginia resident is $50,480, which is $3,000 above the national average. Another reason that Virginia is a good state to buy a home is because of the low cost of living.
The cost of living in Virginia is 6.2% below the national average.
Affordability is a major factor when it comes to buying a home. The median home price in Georgia is $229,900, which is $22,000 less than the national median home price.
The next factor that makes Georgia a good state to buy a home in is because of the average salary for a Georgia resident. The average salary in Georgia is $50,820, which is $4,000 above the national average.
Another reason for Georgia’s affordability and desirability for prospective homeowners is the low cost of living. The cost of living in Georgia is 3.8% below the national average.
That’s a significant difference, and it means that you’ll be able to stretch your budget a little bit further if you’re thinking of buying a home and retiring in Georgia.
The final state on this list is Nevada, which is the most affordable state to buy a home. The main reasons for this are that the median home price in Nevada is $253,900, which is $21,000 less than the national median home price.
The average salary for a Nevada resident is $47,030, which is $5,000 below the national average. Another reason that Nevada is a good state to buy a home is because of the low cost of living.
The cost of living in Nevada is 15.2% below the national average, which means that you’ll have more spending power if you decide to buy a home in Nevada.
Buying a home can be a major decision, and it’s important to research the different factors that make certain states more affordable than others.
Virginia, Georgia, and Nevada are all good places to buy a home if affordability is a major consideration.