April 25, 2024
Home Buying Guide For Single Parents

Being a single parent is a tough job, from handling your kids to finding a steady income source, you have to do it all alone.

Investing in a property and building your home seems like a herculean task especially when you’re doing it without any assistance.

Don’t worry, I have formulated a comprehensive buying guide that specifies the intricate details of the process:

Decide the Budget

The local market conditions, demand, and mortgage rates of the area determine the price of the property. Furthermore, calculate the monthly mortgage estimate, the average increase in rents, and tax benefits before making a choice.

Why Buy A House?

  • A house is an asset ensuring better financial stability in the future,
  • The government has introduced various tax exemptions for property owners. You will see different sections about these tax exemptions when you file your yearly tax return.
  • You can modify the property to suit your needs
  • Homeowners can fit in with the local community thereby providing their kids a great opportunity for building friendships
  • You don’t have to worry about the monthly rent, which can be increased as and when the landlord wishes.

Why Get One on Rent?

For those who can’t afford to own their own house, there are a lot of home rentals as an alternative around the US. When renting a house, you can save for buying your own place. For example, there are amazing offers for  Moffett Field apartments for rent in California. Other pros for renting instead of buying are:

  • Real estate is a dynamic industry, it is not always profitable to invest in a property.
  • You should not worry about the maintenance and cleaning of the property, the landlord takes care of that.
  • You can easily leave the place and relocate elsewhere.
  • You only have to pay the rent, and other costs such as property tax and utility bills and are exempted.

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The Technical Details of Investment

Prepaid Expenses

There are many things to take care of before you get ownership of the property. Property taxes, mortgage lender charges, home appraisals, and equally important – insurance amounts are among the few things you have to pay.

How can I Protect my Post-Divorce Credit?

Once you are legally separated from your spouse, close the joint accounts and submit the bank details, remove your ex-partner as a co-user too. Also, to ensure that you have no complications in your relationship status, you can use the divorce papers, alimony receipt, and child custody.

Other Simple Details

  • Learn about the credit points and calculate the debt-to-income ratio to determine your budget. The ratio is usually set at 43%; this enhances your load credibility and increases your chances of getting a loan.
  • Negotiate with your bank to apply for a home mortgage, and compare the prices before buying.
  • Inspect the property carefully before buying
  • Ensure that the place is authentic and get the original title of the property

With that said, it is not wise to spend all your money on paying the mortgage and keep some in reserve for emergencies.