If you do not currently own a house or a condo, you are probably renting a home or an apartment.
As a first time homebuyer, it is very important to consider timing before jumping into the housing market. As a renter, you need to take into account the end-date of your lease or rental agreement. If not, you may find yourself paying rent on top of a new mortgage.
For example, suppose you currently have two months left before your lease is up. You find a realtor, get approved by a lender, and make an offer on a property. The seller agrees to close in sixty days. Then, like clock-work, after two months your lease is up and you close on a new house in the same day. That is an ideal situation.
Unfortunately, things can't always run that smoothly. Take the opposite circumstance: you have two months left on your lease, the seller wants to close in thirty days, and the landlord won't let you out of your contract early.
To avoid troublesome situations, do some planning first:
- Talk to an attorney. An attorney will explain your lease obligations and possibly give you other options that you might not have otherwise known about.
- Plan to search for a new home towards the end of your lease date.
- Talk to your landlord. Your landlord may be willing to terminate the contract early or they might even know of another tenant who would move in.
Planning and timing is "key" in real estate. Don't get frustrated if you feel you're missing out on a good home due to bad timing. There will be another wonderful house that is perfect for you when the timing is right.
Questions? Contact us today!