The Importance of Tracking Your Home Buying Power
Preparing to buy a home is a big step. The process of understanding what one can afford, where to search, and when to act can be unfamiliar and quite intimidating, especially for first timers. In most cases, potential home buyers are left asking themselves the most important question when looking to purchase a home: what can I afford in the areas that I am interested in?
Understanding your home buying power is a very important step when beginning to look for a home. You might also be asking yourself: How do I figure out my home buying power? Where can I learn more about my home buying power? And What factors affect how much I can afford?
The team at Senso.ai is here to answer all of your home buying related questions and help you prepare for the biggest financial decision you’ll ever make.
What Factors Affect Your Home Buying Power
The key factors in calculating an estimate of your home affordability, or buying power, are your monthly income, cash reserves – the amount of money you have for down payment and closing costs – your monthly expenses, and your credit profile which includes your credit score and monthly debt obligations. Whether you’re interested in buying a home soon, or a couple of years down the road, knowing the various factors that impact your affordability and how your affordability might change on a weekly basis now can benefit you when it comes time to start looking.
Why Knowing Your Home Buying Power Matters
Like your Credit Score, your Buying Power keeps you up to date on your affordability relative to trends in the real estate market before speaking with a lender or mortgage loan officer. Whether you’re purchasing a home or not, having an ongoing sense of how your affordability is impacted will help you be prepared for when you decide to contact a lender and begin the mortgage process. While knowing your credit score can help you get an idea of what credit cards you are preapproved for, staying up to date on your home buying power through Senso Engage allows you to see what you can afford in selected locations across the U.S. and Canada.
How You Can Achieve Your Housing Goals
Senso.ai builds valuable tools that are made available to prospective home buyers at various points during the home buying journey. Whether you are looking to relocate and buy a home a couple of years down the road, looking for your first home in a new city, browsing the market out of curiosity, or looking to invest in another property in the near future, having access to this information will help you be proactive in your home search.
Our goal is to provide you with an ongoing snapshot of what your buying power is so that you can be smarter in where to search and when to act on the home that’s been on your mind.
Senso.ai is currently running a pilot program which enables prospective home buyers to proactively manage and track their purchasing power at their convenience through an online platform, regardless of what step of the home buying process you are at.