HOW BADLY DO YOU REALLY WANT THAT HOME???
 January 27 2013     Posted by Mary Poburan

Well its been said that it takes 21 days to form a habit. Obviously I have not spent enough time posting Mondays with Mary. The holidays always seem to throw me off track but fear not, I am back in the saddle and ready to inspire you!

How Badly do you REALLY want that home??

Every week I get calls from first time buyers who are eager to jump into the arms of home ownership. Their payments, after all will be just a bit more than rent…right? Well one of the first things I ask is how much they have saved for a down payment? After a long pause, they admit that they haven’t really started saving but they intend to…Home ownership is not for everyone. If you are barely making ends meet and you have not been able to save and your debt is climbing, perhaps you need to re-evaluate your priorities. A mortgage broker who is DISCOURAGING someone from getting a mortgage? Why would I ever do that? I firmly believe that in order to be ready to buy a home we need to be on solid financial ground. Those same individuals, unable to save, have made different choices and priorities. Consider this. If someone REALLY wanted to save for a down payment how could they do it?

1)      Do they really need that Ford F150 with a loan payment of 650.00 per month?            

12X650= 7800.00

2)      Extra gas savings by downsizing at least 200.00 per month   

 12X200=2400.00

3)      Pack of smokes a day?   I think they are at least 12.00 per pack                                                  

365X12= 4380.00

4)      Coffee every work day at Starbucks at least 5.00                                                                                

 5x5x52=1300.00

Total Savings in a year                                                                                                                                             

 $ 15880.00 Enough for 5% down on a 300K home!!!!

Perhaps it is harsh of me to make such assumptions and I do not mean to judge but there are several areas that people can choose to spend or save their money on. Do you really need that Louis Vuitton purse, New IPhone 5, True Religion jeans or to spend 200.00 at the Casino every weekend? If your lifestyle allows for such things, I think GREAT. If you come see me driving your Ford F150 and tell me you can’t afford to save for a house with your new IPhone 5 in the back pocket of your True Religion jeans, while pulling out your smokes from a Louis Vuitton Bag,  I will wonder if you really have your priorities in place…