A house is easily one of the biggest investments you will make. It costs a lot of money to purchase a house and even more money to pay for your mortgage and to maintain your home. This is why it’s important that you assess your financial standing and determine if you can afford the new house you plan on buying.

To help you in your assessment, here are the things you need to consider:

1. Consider your financial standing.

Assess your incoming and outgoing money. Do you have existing debts? How much are you spending to pay them off? How much more time before you will pay off these debts completely? Knowing these things can help you determine how much room in your budget can you allocate for the house payments.

Financial experts recommend not going over 30-35% of your monthly income when purchasing a new house. That should already include the property taxes and insurance. 2. Use a mortgage payment calculator in Burnaby.

If you want to know how much you will pay for your house, you can use a mortgage payment calculator in Burnaby. This will calculate the payment based on how much the house is, your down payment, how much your interest rate is and how long the loan is. You can change the conditions to know how much your mortgage will cost.

You can check out Brandon Gee-Moore website for the mortgage payment calculator in Burnaby. Try to calculate different scenarios and find the one price you are most comfortable spending.

3. Don’t forget to consider the hidden costs.

Buying a house is not just paying for the asking price. There are so many expenditures involved such as the closing fees. You also need to consider the maintenance costs. Don’t forget to determine how much the utilities will be. A bigger house will cost more to run.

Plan for these additional expenditures. Set aside an emergency fund as well for all the unexpected things that will pop out.

4. Get a mortgage pre-approval.

Securing a mortgage pre-approval will make the road easier for you. It can help you further understand your financial standing. It’s not always a guarantee but it helps to be more mindful of how much you will spend on your new house.

Do your research on different lending companies as well. Make sure you look for the credible ones. Understand how the interest rates can change. Always think of your long-term needs and how it will impact your finances.