You’ve finally done it! You bought the house of your dreams and closing is just around the corner. Then it occurs to you. Your aged and creaking futon, cement block and raw lumber bookshelves and that one lone chair in your kitchen might not be anywhere near enough furniture for the new space.
What’s a New Homeowner to Do?
Step One: Don’t Do Anything Until After Closing
Before going into detail on how to keep your budget under control when buying new furniture, it’s important that you actually close your loan. It’s a common pitfall for new home buyers (and really, even home buyers who have bought before). Of course you’re excited, you got a clear to close — but you’re not closing for another week because there’s just not another day that works for everyone.
This Is Not the Time to Buy Furniture.
If you buy furniture, especially if you buy it on credit, you can literally have your loan approval revoked. You were approved based on your debt to income ratio, your credit score (which heavily weights how much of your credit is used at any given time) and your cash reserves. Whatever you do, don’t upset the balance. Don’t even breathe too hard. Window shop, but don’t buy anything yet.
You’ve Closed, Green Light on Shopping!
Because you were patient, your loan closed and all is well. The thought of moving into your new house with your sad, saggy furniture is almost too much, though. You want to get to it: new house, new furniture, new life. Before you do, consider these five tricks to help you stick to your home furnishing budget:
1. Actually Have a Budget.
It’s easy to walk into the Pier Ones, Ikeas and Crate and Barrels of the world and lose all sense of self-control. Before you take your first step, determine how much you really can afford, whether you’re paying cash or putting your home’s furniture on a card. When using credit, be realistic because if you can’t pay the payment you’re going to suffer a lot for an overstuffed couch you bought on a whim.
