Your Dream Home: 5 Signs You’re Ready to Own a House

Making the transition from renting to buying a home is a significant step in a person’s life. However, it is a significant decision that extends beyond financial considerations. It’s a lifestyle change that you must be ready to make.

How do you know if you are ready to buy a house? Here are five signs:

You Have a Strong Credit Score

For homebuyers, establishing a strong FICO credit score is a requirement. Without a good score, you’ll have a hard time finding a loan to buy a house. Banks are also more inclined to provide better rates and terms to people with strong credit ratings.

In general, a FICO credit score of 670 or above is preferable. One in every three Americans has a credit score less than this. This may be accomplished by paying off your debts on schedule and without carrying large credit card balances. 

As soon as you are capable, apply for a credit card and use it wisely. The longer you establish that you can responsibly pay your debts, the higher the contribution to your credit score.

You Can Afford the Down Payment

You’ll need cash on hand to finalize the purchase if you want to finance the property. Depending on the lender, you may be required to put down as little as 5 percent or as much as 20 percent

According to, the median price of a property in the United States is around $300,000. A 20 percent down payment and closing expenses on a conventional mortgage require nearly $60,000 in savings. 

You can put down less, but private mortgage insurance will be required. Aside from your down payment funds, it would also be advantageous to have steady employment of at least two years since mortgage lenders prefer that.

You Are Ready to Settle Down

If you’ve found a place you want to call home, buying a property is an excellent option. Living in one area for an extended period forces you to think about several critical elements of your life. If you feel that you’re in a solid spot that won’t compromise your career, your family and loved ones, or your way of life, it’s time to purchase a house and settle down for good.

You Want More Privacy

Homeownership can provide you with the solitude and tranquility you need—no more noisy neighbors or loud music. Animal lovers will be relieved to have their own space where they won’t have to pay extra fees or beg permission to bring their pets.

You also have more control over your place. You can do whatever you want with it—give the powder room a makeover, build a walk-in closet, or paint the walls whatever color you choose.

You Can Maintain Your New House

Houses are similar to children in that they are costly. Don’t buy one unless you’re willing to spend money on landscaping, plumbing, electricity, flooring, and other unexpected costs. Owning a house is a labor of love, and you must do everything possible to assure your comfort and safety while residing there.


Ultimately, purchasing a home is an investment, and homeownership may provide a sense of security and stability. However, a tight real estate market, as well as other personal financial circumstances, might make it difficult. Nonetheless, with the appropriate resources and assistance, you may make your goal a reality.

For home loans in Sacramento, Hawkins Home Loans is your online resource for a stress-free process, competitive rates, and fantastic service—whether you’re buying a home, refinancing, or need cash from your home equity. Get in touch with us now to schedule an appointment.