First, I believe that that you should not purchase a home that is more expensive that you can afford. Before you even begin to look for a home it is best to sit down and make out a budget. Here are some of the things you need to consider when making your budget. You should plan to have at least three months of reserve money to live on. This will allow for loss of income. This will most likely happen sometime in your lifetime. In the present economy, loss of job, soaring gas prices and increasing food prices are major problems for struggling families. This can happen at any time. The necessities in life are food, shelter and clothing. There has to be an allowance for property taxes, insurance and the unexpected. You don’t want to be tied down to a house payment and never get to go on vacation. Life is too short.
Second, check on your credit score. Your credit score along with your available income will determine what kind of interest rate you will have and how much money you can spend per month on a house payment. Ask a lender to prequalify you for a loan. If you do that then you can be sure that you can really borrow the money and you will have a firm idea of how much money you have to spend on your new home.
Next, you should look at houses that fit your budget. You should never try to compete with anyone on a house by choosing more house than you can really afford. You should only buy what you can afford. Do not "try to keep up with the Jones". There is an old saying “Your wants won’t hurt you.” Your obligations should come first. Then you should choose a house that fits within your budget. I had rather have a small roof over my head than none at all.
... middle of paper ...
...ghts are that many banks were too lenient about lending money. They were lending money to people who were not able to repay the loan. The lending rules should be tightened up. The housing market is the strength of our nation. The necessities in life should come first, not supporting bad habits. You and only you are responsible for your spending habits.
I am planning to get a college education with a Master’s degree. I want a degree in computer forensics and hope to get a job with the FBI. I want to pursue a career with the federal government. I think that would be good job security. I am currently an intern with our local government in the MIS/IT department working in computer maintenance. I am a responsible person. I can manage my money and time. I will remember the things I have written about in this essay when I am ready to buy my first home.
Need Writing Help?
Get feedback on grammar, clarity, concision and logic instantly.Check your paper »
- Economics, we as a group have responsibilities to ensure there are checks and balances. The statistics are over whelming. Who should be foreclosed on, who are making an attempt to continue payment. Lenders whether they are a bank or mortgage company need more compassion not greed. Are the homeowner’s really bad people or people of misfortune. What are the available options, where can a homeowner go to receive them. Those who are irresponsible, non responsive should be held accountable to go forward with foreclosure and commend those who are responsive and responsible with compassion.... [tags: foreclosure, economics]
977 words (2.8 pages)
- The foreclosure crisis is a very sensitive issue that needs to be acknowledged urgently. This particular issue has put a lot of people in danger by losing their homes. When being in a predicament like losing one’s home it is all about responsibilities. Once a person has been notified that their home is in the process of foreclosure and they only have but so little time to pay their mortgage, this is when compromising comes into action. It is imperative that needs come before wants when in a position of foreclosure.... [tags: Foreclosures, ]
961 words (2.7 pages)
- Solving the foreclosure crisis will not be an easy task. I believe there is no quick fix or sure solution to fix this far-reaching crisis. There are however, steps that every individual involved in the foreclosure crisis can take towards improving the situation. People that the foreclosure crisis does not directly affect should still rethink their lifestyles as well, so that the crisis does not continue to grow. The bail outs given to the banks were a candid approach to preventing the banks from failing, but there were still thousands of Americans failing as well.... [tags: Foreclosures, ]
985 words (2.8 pages)
- The current foreclosure crisis that our nation is experiencing has become a great hardship on many people in America. People that have lost their jobs due to cut backs, people with families for whom they need to provide shelter, people who are otherwise very responsible but have been put in a position from which they cannot escape, these are the people that are suffering. Normally if one could not afford to make payments on their mortgage, there would be ways for them to refinance their mortgage in order to adjust some of the payments.... [tags: Foreclosures, ]
960 words (2.7 pages)
- The first step in solving the foreclosure crisis is to stop lending money that we cannot afford to pay back. Lenders are greedy and they just push people into loans that are too much for them to handle. Once the lending portion is under control then we must take care of the current problems, which are all the people that currently have the loans that they can’t afford. Stop lending too much money. A person should be able to make the monthly mortgage payment with one and a half weeks to two weeks of paychecks.... [tags: Foreclosures, ]
902 words (2.6 pages)
- The foreclosure crisis is completely out of control. Everywhere you go, there are foreclosed houses to your left and right. The only plans that there are for putting an end to this crisis have a very small picture of the crisis in mind. These plans only deal with helping people that are in an immediate danger of having their house foreclosed on. The help that they offer only puts people out of harms way until they have to make payments later. Many people simply can’t pay the bills that they have in front of them.... [tags: Foreclosures, ]
945 words (2.7 pages)
- Throughout history Americans have experienced many different crises. Today, one of several crises that are affecting the United States is the foreclosure crisis. I believe Americans are experiencing the worst foreclosure crisis of all time. The foreclosure crisis has been brought on by numerous factors, such as the state of our economy, job loss, and taxes, not paying mortgages, and lastly, owing the IRS. December 2007 is when Americans started to face some tough times. Many people were losing jobs and being laid off.... [tags: Foreclosures,]
1113 words (3.2 pages)
- For many Americans, the foreclosure crisis was a news story on TV. For others, the crisis was a national problem to be pondered “in theory.” In my case, however, the foreclosure crisis was personal and real. In 2003, in the midst of closing my failing African American bookstore in Denver, I defaulted on my home mortgage – finding myself the target of a foreclosure process, but also of predatory lenders and investors prowling my inner-city, gentrifying neighborhood. I avoided foreclosure by agreeing to a modification plan with my bank.... [tags: Foreclosures,]
2068 words (5.9 pages)
- How do we solve the foreclosure crisis. This question has been plaguing many people who are smarter and better educated than I am. But to them this is just an academic question, since they have probably never faced the problem of which bills to pay or whether or not to go to the doctor or fill a monthly prescription or pay the mortgage. For a lot of Americans these are the choices that have to be made each paycheck. To solve the foreclosure crisis we must help these people to pay their bills and have enough money to continue paying their bills.... [tags: Foreclosures,]
1034 words (3 pages)
- I have always been taught that education is the key top solving almost any problem. The current foreclosure crisis is not any different. There are many reasons cited as to why this crisis happened. Some reasons are obvious whereas other may require inside knowledge of the actual mortgage approval process of individual banks. Greed has been cited by many as the most obvious reason. Greed on the part of the banks, realtors, loan officers and yes even homeowners. Homeowners who wanted to get much more house than they could afford just because someone approved them for it.... [tags: Foreclosures,]
1061 words (3 pages)