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You will need to save up money for a down payment and closing costs before purchasing a home or starting your own business. These expenses can range from three to six months of your gross annual income, depending on the size of the loan you are able to obtain. You will also need to be aware of any tax implications and have enough room in your budget for housing and other general expenses such as food, utilities, insurance premiums and property taxes. Whether you're just starting out or planning an exit strategy after getting tired of working at a company, these financial estimates will help you make a wise decision when it comes time to decide whether buying is the better option in your situation.
Before you begin shopping for a home or business, you'll want to sit down with a real estate agent, financial planner or your bank manager and discuss how much money you can afford for down payment and closing costs. If you think about how much money you will need to cover these expenses when making your plans to buy a home, it won't be difficult to calculate how much money will be needed. However, it is important that you look at your situation from all angles before purchasing a home or starting up your own business.
Before you begin shopping for a home or business, you'll want to sit down with a real estate agent, financial planner or your bank manager and discuss how much money you can afford for down payment and closing costs. If you think about how much money you will need to cover these expenses when making your plans to buy a home, it won't be difficult to calculate how much money will be needed. However, it is important that you look at your situation from all angles before purchasing a home or starting up your own business.