• About
  • $40K Challenge
  • Aunt Doris
  • Grandfather Says
  • Privacy
  • Archives
  • Disclaimer

Len Penzo dot Com

The offbeat personal finance blog for responsible people.

Still Renting? Here Are 5 Signs You’re Ready to Buy a House

By Katie Bassett

signs you're ready to buy a houseCalling all renters! Let’s take a look at all of your previous living situations. By now, I’m sure you have dealt with your fair share of landlords, both extremely accommodating as well as a few uncooperative. You’ve forked over several down payments, which have been eaten away by the flooded washers and leaking faucets. You’ve had dreams of redoing the outdated kitchen, revamping your master bathroom, or even painting the bare walls, but your lease forbids any structural changes.

Now, as you are dotting your I’s and crossing your T’s on yet another rent check for your very underwhelming apartment, all of these instances flood your mind and the feeling of frustration seeps in. After years of landlords, leases, and limitations, renters are itching to take the next step and purchase a home. But are you actually ready?

Buying your first home is a marathon, not a sprint, and those weighing this option must be ready and fully committed. If you are debating the transition, here are five telling signs that you’re ready for your first home.

You’re invested in the area

Unlike committing to a one year lease, the average homeowner stays in a house for nine years. Catching up to post-purchase expenses and closing costs alone can take anywhere from three to five years, therefore it is important to really enjoy the neighborhood that your home resides in. Whether it be a great schooling system, an easily accessible transportation system, a large yard, or walkable restaurants and nightlife options, prioritize what community amenities are important and don’t settle until the area meets all of the requirements.

You have money saved

Many renters are stoked when they see mortgage rates less than rent payments, but there are a lot of other financial factors to consider. Additional home ownership costs include a down payment, closing costs, other mortgage-related feeds, home maintenance, and repair expenses. That’s right, you no longer can call your landlord to deal with a plumbing problem. A mortgage calculator can help renters determine what their costs will really be like with these additional expenses.

You have a steady job

Many mortgage lenders look for people who have held a steady job for the last 24 months because it shows stability and commitment. Moreover, while you might qualify based on your current income, mortgage lenders worry that job hoppers won’t keep that income initially provided.

You have established credit

Establishing a good credit score is beneficial in all situations, and a bad credit score may indicate that you’re not ready to buy a home. Have you skipped out on paying bills? Are you carrying too much debt? These are questions mortgage lenders will look into and these will ultimately make them wary. Additionally, not having credit can hurt your odds as well. With zero credit history, a bank or lender isn’t able to evaluate your payment history and essentially your overall commitment.

You’re flexible with the timeline

Home buying is all about timing — sometimes situations happen overnight while others drag out. The current housing market and the number of bidders can greatly affect a homebuyer’s timeline, so you have to be flexible for either situation.

Have you met the criteria above? If so it sounds like it’s time for you to start making plans for your dream home!

Photo Credit: stock photo

5 Comments August 6, 2025

Question of the Week

Are you financially better off than your parents?
VoteResults

Comments

  1. 1

    Dotty says

    This was very helpful. I think I am ready to finally quit leasing!

    Reply
  2. 2

    aura says

    A very informative post. Thank you.

    Reply
    • 3

      Len Penzo says

      My pleasure, Aura.

      Reply
  3. 4

    miami mimi says

    Thank you for another magnificent post, Len! Love your blog!

    Reply
    • 5

      Len Penzo says

      My pleasure, Mimi! I hope you’ll become a regular around here.

      Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Copyright © 2025 Len Penzo dot Com · All Rights Reserved · Designed by Nuts and Bolts Media

© Len Penzo dot Com 2008–2025