Homebuying 101: A Practical Guide to Buying a New Home

Before touring model homes or comparing floorplans, take time to understand your complete financial picture. 

Consider:

• Your monthly household income
• Your regular expenses
• Existing debts and financial commitments
• Your savings for a down payment
• Your savings goals and emergency fund
• Estimated monthly homeownership costs
• One-time purchasing, closing and moving expenses 

Many buyers focus on the purchase price, but affordability is about the total cost of owning a home. Your mortgage payment is only one part of that cost. A comfortable budget should leave room for property taxes, utilities, insurance, maintenance and everyday life. It should also allow you to continue working toward your other financial goals.