From the course: Economics for Everyone: Housing Markets in Crisis

Unlock the full course today

Join today to access over 22,600 courses taught by industry experts or purchase this course individually.

Thinking about buying

Thinking about buying

From the course: Economics for Everyone: Housing Markets in Crisis

Start my 1-month free trial

Thinking about buying

“

- Whether you're buying a house in a boom year or during a housing crisis, the mini rule about buying is always the same. Don't bite off more than you can chew. You want to buy a home that doesn't stretch your finances so much that you put yourself at financial risk. As you consider the reasons to buy, it's important to think about whether you need the house or whether you want the house. And if you're looking at things like second properties, consider all the costs, something business people often refer to as TCO, which stands for the total cost of ownership. This includes your mortgage with the principal payment and interest, utilities and the insurance, and all the other things that come with owning a home. Understanding those costs is going to be critical to making a good decision. Finally, if you're considering buying a rental property, there are even other considerations. And these include, especially during a…

Contents