Buying a home when you have children

Buying a home when you have children

We all know the homebuying process is a complex task. From saving for a downpayment to finding the home of our dreams many steps need to be taken.  We often tell people to budget on a monthly basis and to try to cut on certain weekly expenses in order to save for the downpayment. And you should! However, if you have little kids, how does the scenario change? You can’t cut back on diapers, formula, clothes and basic items. According to studies done by real estate experts, more than 50% of homebuyers with small children admit that having kids has influenced their decision to buy a home – and a home ideal for raising children.

So, there are a few things to take into consideration if you are a young parent looking for a home. The most important is definitely the budget. When you have the expenses mentioned above, you really need to be disciplined when it comes to expenses if you want to also save for a downpayment. Most young parents are having difficulty putting down the 20 percent downpayment for a house. 

Next, make a list of the “must-haves” in the home you’re looking for.  What are your priorities? How many rooms would you like to get? Features? Neighbourhood? Once you have this list, make a second one for the neighbourhoods you would potentially choose as the ideal ones for you and your family. 

Once you have established your lists, look at the downpayment you have. Can you afford a home in the chosen neighbourhoods? With that comes the time factor. Buyers with children spend more time looking for homes and don’t usually get into bidding wars. There have too many expenses to think about. 

If you require more tips on this topic, contact us or get a copy of Carmen Costa’s book “The Reality of Mortgages: a step-by-step guide to the homebuying process”.