One of the most important decisions a person makes in life that requires proper consideration is the decision to purchase a new home. This is because this is not a decision that can be made abruptly given its long term implications on one’s finances. Nevertheless, majority of Americans are willing to become home owners. The 2010, US census depicted homeownership at a rising trend,67.1%, a bit abnormal given the economic hardships the country experienced in the recent past.(U.S. Census, 2010).This figure represents both first time home owners as well as those that had purchased houses before. In spite of this, a myriad of factors needs to be taken into consideration before making this very important decision of owning a home. They include marginal costs and benefits, the country’s economy strength, principles as well as the played by both internal and international trade. This paper discusses some aspects that prospective home owners need to know before purchasing a home.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- Key aspects to consider before buying a home
- Principles of Economics influencing the marginal benefits and costs associated with the decision to purchase a house
- Risks and benefits of purchasing a new home in relation to national fiscal policies
- Impact of government spending and taxes on the decision to purchase a home
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This paper aims to provide prospective homebuyers with a comprehensive understanding of the factors to consider before making the decision to purchase a home. It explores the interplay of financial considerations, economic principles, and government policies that influence this decision.
- Financial readiness for homeownership
- Economic principles and marginal analysis in housing decisions
- Government policies and their impact on the housing market
- Risks and benefits associated with homeownership
- The influence of economic stability on housing decisions
Zusammenfassung der Kapitel (Chapter Summaries)
The introduction sets the stage by discussing the significance of homeownership and the various factors that need to be considered before purchasing a house. It highlights key financial aspects such as income stability, debt management, and mortgage requirements.
The chapter on "Key aspects to consider before buying a home" delves deeper into practical considerations such as location, price, and size, emphasizing the importance of choosing a house that aligns with family needs and aspirations.
The chapter on "Principles of Economics influencing the marginal benefits and costs associated with the decision to purchase a house" applies fundamental economic principles to the decision-making process. It explores the tradeoffs involved in homeownership, emphasizing the need for a careful analysis of both marginal benefits and costs.
The chapter on "Risks and benefits of purchasing a new home in relation to national fiscal policies" discusses the impact of government agencies and policies on the housing market. It analyzes how policies such as tax credits and interest rate adjustments influence the demand for homes and their prices.
The chapter on "Impact of government spending and taxes on the decision to purchase a home" examines the role of economic stability in housing decisions. It highlights the importance of considering the state of the economy and the potential risks associated with purchasing a home during periods of economic uncertainty.
Schlüsselwörter (Keywords)
Homeownership, financial preparedness, economic principles, marginal analysis, government policies, housing market, risks, benefits, economic stability, decision-making.
- Quote paper
- Amand James (Author), 2010, Purchasing a New Home, Munich, GRIN Verlag, https://www.grin.com/document/270048
