Think you are ready to buy a house? Here's 4 signs (Guest Blog)

“Am I ready to buy a house, or should I just keep renting?”

It is one of the questions that we hear most often and something

to which first-time home buyers often spend months, if not years,

trying to figure out the answer.

Below are a list of four tell-tale signs that you are ready to bite

the bullet and take the leap into home ownership:

Sign #1: You are ready to settle down

The first sign that you are in the right mindset to become a

homeowner is that you are ready to stay put -- at least for a little while.

Conventional wisdom states that in order for your purchase to

make financial sense, you’ll want to plan on staying put for at

least the next five years. When you sit down to think about house

hunting, you’ll want to use that time frame as your reference point.

Ask yourself the following questions:

Can you see yourself staying at your job for that

long, or will you be looking for new opportunities?

If the right position came along, would you be willing

to move for it?

Do you like the area you are living in, or would you

like to explore other options?

Do you see your living situation changing soon?

Are you planning on moving in with a significant

other or expanding your family?

If these questions make you squirmy, the idea of looking five

years into the future still feels a little too far ahead for you to

grasp, or you still want to see where life life takes you, you may

want to consider renting for a bit longer or thinking about

a for-a-few-years home vs. a forever home.

2. You are done living paycheck-to-paycheck

Let’s face it, becoming a homeowner is expensive.

Not only is there a monthly mortgage mortgage payment to

consider, which will likely be more than your current rent

check, but prospective home buyers need to be prepared to

come up with a sizable down payment, shoulder a portion

of the closing costs, and have the dough to take care of any

necessary repairs.

Luckily, there is a way that you can prepare for the added

financial pressure before the big day comes and understand

how much house you can afford. Use a mortgage calculator

to estimate what a monthly payment could based on the

type of home you are looking to buy. Then, subtract the

amount you pay in rent each month, and aim to put the

the remainder into savings.

Start by working towards a down payment that could

be worth 3%-10% of a home’s sale price, and then move

onto a separate emergency fund.

3. You are ready for more responsibility

Once you find a home and actually buy it, that is really

where all the fun begins.

Yes, owning a home means that you have a lot more

freedom to improve the property as you see fit --

whether that means putting in an entirely new kitchen

or redoing the hardwood floors.

However, in addition to that creative freedom comes

an added layer of responsibility. As the homeowner,

you are the one who is responsible for any necessary

maintenance and upkeep on the property.

Think about what you are like as a tenant now.

Are you willing to roll up your sleeves and help

with small tasks or are you relieved to know that

you have someone to call? If you are less handy,

you may want to take some time to familiarize yourself

with common home maintenance tasks before committing

to buying anything. It always helps to have a fair idea of

what you are getting into.

4. You know what you are looking for

Last, but not least, though it may sound self-explanatory,

when you are trying to determine whether or not you are

ready to buy a home, it is useful to have an idea of what

you are looking for.

You don’t have to have every single detail set in stone.

(In fact, it is preferable if you leave some room to flexibility

in your home search.) That said, though, having a basic

set of parameters in mind will make the home buying

process go much easier.

Here, you’ll want to think about the most important

factors that you absolutely must have in a home. These

will be the things that you would not feel comfortable

buying a home without. This may include details like

your preferred location, an ideal number of bedrooms and

bathrooms, a target sale price, or any specific must-have

features like that perfect picture window view.

If you have a strong idea of your must-haves and can't

see that changing in the near future, and the above signs

sound like you, you may just be ready to take the

plunge into home ownership. If not, there is no

shame in the game waiting.

This article originally appeared on OpenListings.