What Issues Should I Consider When Buying A Home?

Buying a home is one of the biggest financial moves that you will ever make. There are a number of issues you should be aware of, including how the costs of purchasing and owning a home will impact your overall financial planning goals. 

In this checklist, we cover a number of financial issues that you need to consider when buying and owning a home, including: 

• Cash flow issues, such as the costs to maintain the home once you own it, the impact that owning a home will have should one spouse need/want to stop working to raise children, as well as how long you intend to live in the home. 

• Financing issues, including your debt ratios, qualification for advantageous mortgage terms and/or special lending programs (e.g. VA loans), and the loan application process. 

• Income tax and estate planning issues, including mortgage interest deductibility, basis tracking, and how to properly title the home. 

• Insurance issues, including property and casualty policies, and appropriate levels of life insurance coverage.