Owning a home is the top priority for most people. It can be a life-changing financial decision that requires in-depth preparation and thought. While some put in years of savings in their dream homes, others dive right in when they plan to get married or start a family. So what’s the right time and age to begin investing in your first home? Is it in your 20s, 30s or maybe 45 and above? Read on to understand.
All about the 20s
Financial responsibilities are usually at the lowest when you are in your 20s. People usually marry by their late 20s and then plan a family. Investing in a home before this offers plenty of time to repay your Home Loan. It also helps you to build a good credit score.
The con in this scenario could be not having enough time to save for a large down payment. This can lead to higher EMIs in the long run. Also, your income might be lower compared to your 30s and could result in your loan application being rejected.
Buying in your 30s
Most people tend to have a stable, well-paying job in their 30s and a significant chunk of savings. This can save you a large down payment. If you have a partner, you can also opt for a joint Home Loan to reduce the EMI burden. Buying a home at this stage also gives you plenty of time to pre-plan and make an investment that stays with you life-long. There’s also enough time to clear the loan and simultaneously save for retirement. However, you need to consider other essential costs you might encounter such as your children’s education, or a car loan, etc.
Buying a home after your 40s
The biggest advantage of buying a home in your 40s is established financial stability through homeownership. You may have planned this purchase for a long time, and have more savings and equity built up than the rest. This could take a massive load off your financial liabilities, which you can use to finance other investments or retirement.
But it is also important to remember that most financial institutions will consider your age when approving your loan application. The tenure for Home Loans usually runs for 10-30 years and can also impact your retirement fund. You may also face challenges like limited mortgage options, more maintenance and higher property taxes that can be challenging for buyers on a fixed income.
Ultimately, there is no right age to buy a house and the decision to buy a home at any age requires careful consideration of varied factors. With a little planning, one can ease the budget constraints this capital-intensive investment brings along.
At Pyramid Lifestyle, our precise expertise ensures every space we build is embedded with purity and perfection, to bring your glory. Our team assists you in every way possible for the best home buying experience. If you wish to know more about who we are or what we do, visit www.pyramidlifestyle.com
