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Xeco212 Final

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The decision to purchase a house is one of the most important decisions, and largest purchases an individual will ever have to make. There are many factors to take in to consideration, and I am now finding myself having to go through the process for the first time. There are ten principles of economics and I have found all ten of them to be quite necessary and beneficial in my decision. A larger living space is most certainly needed regardless, but I have many things to think over first. These principles have helped me to decide if now is the right time in our economic state to purchase, or to continue renting. The first factor that needs to be taken in to consideration is budget. Will I even be able to afford a home? Once taking my income and subtracting my expenses, I will have a ballpark estimation as to what
I will be able to afford monthly for a mortgage. However, it is not that easy to figure. I also have to take in to consideration the things, (expense wise) that I will have to give up. There will most certainly be things I will have to give up to possibly make the mortgage. For instance, I will be paying more for utilities, so I may have to give up cable television to make up the difference. I will also have to think of the additional expenses that come with owning a home and also having a child. Location is a big factor in the purchasing of a home. As of now, I am not in an area that is really child- friendly. I have no local schools or child services in my current area. Therefore my search for a home must be in a safe area, not too expensive, and nearby schools and local vendors that will be beneficial for my growing family. With the economy in our current recession, there are so many incentives for purchasing homes at this time. Since our economy is in such bad shape, prices on homes are the lowest they

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