Buying a home and expecting a baby are the two biggest changes you will experience in your life. Well, buying a home can be a challenging task when you and your partner are expecting a child. On the one hand, your instinct may say that you should move into a larger property (because a one-bedroom condo is not suitable to handle the demands of life with kids), on the other hand, your income may not agree (as it can cost you a pretty penny).
But with proper planning, it would be so much easier to find the ideal home and enjoy the process of having a baby. So, if you’re expecting a baby and planning to buy a new home, you should be aware of what to expect. This article helps you prepare.:
Know Your Budget
Two major expenditures in anyone’s life are buying a new home and having a child. Therefore, the first step is knowing how much you can afford. Buying a larger home will also impact your monthly budget as it will cost more to maintain, and your property taxes might increase. If you start saving money, it will not only give you a cushion to cover the expenses of your baby and a new home, it also helps you practice living below your earnings. Also, estimate how much you can afford in-home payments each month. Most people spend between 25 to 35 percent of their salary on their mortgage, but if you're having a baby, it's advisable to budget for even less.
Understand Your Rights As A Pregnant Women Applying For A Mortgage
The lender can’t ask: One of the questions that your mortgage lender is not legally permitted to ask about whether you or your partner are planning a baby, are pregnant or on maternity/paternity leave when you apply for a mortgage.
You can still tell them: Having said that, your lender will need to get a realistic idea of whether your financial circumstances will affect your ability to afford the mortgage payments. What if you take a home loan, and if you borrow too much and struggle with the home payments, your home can be at risk of repossession, which could leave you without a roof over your heads. Also, childcare or extended unpaid maternity leave can affect your ability to meet your mortgage obligations, therefore it is better to disclose your plans to your lender.
Do Your Research
For your child, you’ll probably want a safe neighbourhood that has family-friendly amenities. Therefore it is important for you to first do your research about the location. You may find an attractive deal of having a house in a more affordable area, which allows you to afford the mortgage payments more conveniently without any hassle. However, you need to know that your children will eventually need to attend schools in the area you buy your property, so look for a good location. Also, check about the connectivity because when the child will start going to school, he or she has to cross a busy road to reach school. So, Consider the town itself and not just the home.
Home Size: Take Your Future Plans Into Consideration
It is important for you to know that the home you are going to buy is not just for an infant. That home will soon be occupied by a teenager. The child may also have siblings in the next few years. Therefore, while choosing a home, ask yourself first whether this home can accommodate two or three young adults. Teens often want their own space where they can study peacefully. so, if your budget allows, take your future plans into consideration when you are buying a new home to save the hassle of moving every time your family changes.
Take The Plunge!
Now, after reading the above things you can think about your situation and make an educated decision. It is entirely possible to buy a home successfully while you are expecting, as long as you have a lot of support and suitable financial conditions. After all, your home is a place where you and your family will make memories that last a lifetime.