first time home buyer, braden shares his adventure
Lets Get Started
Braden has agreed to share his scariest thoughts/worries about home buying and taking on a mortgage. We’ll follow him through this process, checking in along the way. It will be fun to capture his perspective, as a first time home buyer on this huge adventure.
A Little history
Braden first approached me in 2014 to talk about mortgages. As with any first time home buyer, we completed a pre-approval to understand what he qualified for. Time passed. He changed his job, paid off his truck, and continued contributing to his RRSP. Braden, who works full time in the service industry, enjoys many outdoor activities, and loves tinkering and creating. He is re-considering home ownership in the Edmonton area with hopes of finding the perfect garage, among other wishes. We have updated his pre-approval and he knows his price range. This first time home buyer is on a mission!
The scariest part
Braden: I think the scariest part of it all is just the fact that there is no right and wrong, really. You just have to dive in and hopefully everything falls into place.
Colleen: You are absolutely correct, there is no right or wrong. Bob will tell you that “buying a house is one of the most exciting things people do in their life.” Arm yourself with facts and a plan, and everything will fall into place. There’s a certain comfort level you have to reach before taking the step as a first time home buyer. If you know what to expect, the process is simply less stressful. Curious about what to expect? Check out our post Avoid These Common Mistakes
Braden: The commitment also kind of scares me. I’m only 27 years old, now I’m going to make a purchase that may take me nearly as long as I’ve been alive to pay off.
Colleen: Braden, you are a wise young fella who seems determined to manage your debt. I recall you mentioning you paid off your truck in 37months, great job! A mortgage can seem like a lifelong commitment, and for many it is, however, you will have the opportunity to take advantage of prepayment options with your mortgage. This is an excellent way to direct additional cash to your mortgage, when the opportunity presents. Our Income Tax Refund post explains how to take advantage of these options. You are still committed to paying off the mortgage, but taking advantage of prepayment options will shorten the time it takes.
Braden: The thought of job loss is always there as well, but you can’t think that way.
Colleen: Change is the only constant these days. It’s a good thing we’re so adaptable, have great work ethics, and have plans in place.
Braden: The lifestyle change is also on my mind. Less freedom for ski trips and projects, now that a mortgage payment needs to be made. But it is fun to look to the future and really making a home your own etc. Hoping to find something just right!!
Colleen: Home ownership lifestyle definitely looks different, but as you mention it is a great opportunity to build your future and enjoy your home. Our blog post How Much Do We Spend On Our First House has some great tips on staying within your means. Nobody wants to be house poor! It’s always best practice to include fun time in your budget and goals, keeping in mind there’s always a fix it project on the list too!
Thanks for your time Braden, we’re excited to hear the next steps of your adventure. Keep us posted!
Check back in a few weeks to hear how the house hunting is going.
If you have any questions about the pre-approval process feel free to reach out anytime.