Break my lease and buy?

On July 1st I started a year long lease with my boyfriend. The rent is a good price, but just because I have been curious I have looked at homes for sale in the same area. I have found some amazing deals. Deals that would allow me to put maybe 3% down and have my mortgage payment be only a few hundred more than my rent payment. I know that interest rates are expected to stay low into 2015, but that worries me because I feel as though more people will want to buy, which will drive home prices up. I have started thinking about breaking my lease and buying. However, breaking my lease could cost me $2,000. Should I continue my lease and save and take the risk that home prices will be higher in 10 months, or should I break the lease and start putting in offers on these deals?

  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
October 03 2012 - US
We think we've answered this question for you!
 
 

Replies (3)

Profile picture for sunnyview
If you can find a house close to rent that you want to live in long term, I would start looking now and saving for a larger down while you look. You may find the house you really want, you may not but the extra savings never hurts and will allow you to deal with the break lease fee if you do find a place to buy.

When you go looking be picky and take time to choose the house you really want. Do not let low rates push you to buy a house too soon that is not a good fit.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
October 03 2012
Profile picture for Dunes ..
"have my mortgage payment be only a few hundred more than my rent payment"

only?..and does that include any costs included in your rent...Water/Garbage..Cable..internet ect..
Are you accounting for Maintenance costs..insurance..taxes ect.?
Do you really know the Market..is the city budget healthy..jobs in area..services being cut (Police/Fire/Schools (All things that impact value) Know the process, how to tell a decent deal from a bad deal, a good Agent from a Smoke Blower..same for Lender?

Months is not years...I'd suggest using some time (Months) to really become as informed as possible about the Market in the area you're interested in, know the costs of ownership, the buying process, buying costs, know about services/jobs/city county budget outlooks, form an informed opinion about prices flat, dropping, will probably drop more,

This is a huge decision, a huge commitment, a huge financial transaction..your money. future, you'll be the one impacted positively or negatively by your decision/actions

Be smart...Shop Smart
It ain't Rocket Science but it ain't as easy or simple as some would make it seem or wish you to think

  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
October 03 2012
The purchase process takes some time.  I recommend looking to purchase.  Contact a lender and start the pre-approval process.  Once you have an amount, you can look at homes in your price range.  If you start looking now, it may take several months before you find a home you like.  At that point you are prepared with a mortgage, you know the market.  Even if you find a home and put in an offer that is accepted, the process will still take another two months to complete.  By the time you have accomplished all of these tasks, you may be near the end of your current lease.

Best of luck!

Michael
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
October 03 2012
 
  • Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.
Related Discussions
Seller lied on disclosure about septic
Profile picture for tagalong9
Latest reply by tagalong9
1 day ago | 12 answers
How do you replace electrical wiring in a home? Costs?
Profile picture for user7705784
Latest reply by user7705784
June 12 | 21 answers
Does putting a fence on your property, increase the value?
Profile picture for Shannon Biszantz
Latest reply by Shannon Biszantz
June 05 | 13 answers
Clogged Drain solutions....DIY-using softdrinks???
Profile picture for warchildbosnia
Latest reply by warchildbosnia
May 30 | 25 answers
5,000 dollars homes
Profile picture for zuser20140529111249717
Latest reply by zuser20140529111249717
May 29 | 2 answers
Be A Good Neighbor

Zillow Advice depends on each member to keep it a safe, fun, and positive place. If you see abuse, flag it. More on our Good Neighbor Policy.