If you're wondering whether you're ready to buy a house, here's a cheat sheet showing what you might factor into the decision. In some cases, all you need to do is run the numbers; others may require some soul searching. Once you've gone through this list, you'll have a better idea of whether you're ready to buy a house.

5 signs you’re ready to buy a house

Let's start with five signs you might be ready to buy. Of course, this isn't a checklist or a quiz, so it's not like all five are must-haves. But if these sound like you, you may already have started down the path to homeownership.

You've got a steady income

Whether you're self-employed, work a 9-to-5 or have some combination of the two, you've got money regularly coming in. That's important for obvious reasons, like paying your bills, but also for getting a home loan. Your income is one way mortgage lenders gauge whether you'll repay the loan.Lack of steady employment or an incomplete employment history make it harder to qualify for a mortgage. Most mortgage lenders will request documentation showing an employment history of at least two years.

You have solid plans for the immediate future

Buying a house is a commitment; if you decide the place isn't working out for you, selling a home is much more involved and expensive than, say, breaking an apartment lease. You want a place where you'll be comfortable now but also one that could meet your future needs. For example, if you know you want kids, it could make more sense to shop for a three-bedroom home now instead of struggling to sell your starter home and upgrade when you've got a toddler (or two) underfoot.

You've built up savings for a down payment

Saving up for a down payment is one of the biggest hurdles on the path to homeownership. But contrary to popular belief, you don't have to put down 20%. Depending on the type of home loan you're using, the typical down payment on a house is usually 3% to 10% of the purchase price. And home loans with no down payment are available, too.

You’ll also need money for closing costs. Those will run about 2% to 5% of the total price. Having savings socked away puts you much closer to homeownership.

You're ready to take responsibility

Besides paying the mortgage, owning a house comes with routine upkeep and occasional big repairs. All the stuff you used to lean on your landlord or super for is now your job (unless you pay someone else to do it, in which case it's yet another expense). So even with a new, move-in-ready home, be realistic about giving up some of your weekends and other free time for home maintenance.

One way to skip a bit of the work? Buy a condo instead of a detached house. You'll have less autonomy, but those homeowners association (HOA) fees often pay for some maintenance costs, such as raking leaves or snow removal.

You can afford a location that meets your needs

Buying a house because you can afford a house, period, is not the same as buying a place where you actually want to live. If you love your everything-in-walking-distance city lifestyle but can’t afford to buy where you are, renting may be best right now.

Found a neighborhood that fits your lifestyle and your bank account? You’re probably ready to start looking at houses there. That said, you may need to make tradeoffs — for example, compromising on your commute for a better school district. This isn't just an investment; it's your home. It's best to buy in a place that really works for you.

You should probably postpone buying a house if …

Here are five things that you can think of as yellow lights. Not necessarily a hard stop but a "proceed with caution." And bear in mind that these can change as your perspective and plans evolve or, in other cases, by shoring up your finances.

You're reacting to pressure from friends or family

Yes, it might feel like all your friends have posted photos of themselves standing on a front porch with the caption "so we did a thing." But it's OK to just keep scrolling.

If you don't feel ready to buy a house, it doesn't matter if it's a solid investment or a sign of being a grown-up or whatever people are telling you — right now, it's not for you. So whether you're happy with where you are or you want to be better prepared before you buy, there's no rush. Market conditions change, but the housing market is always there.

Your credit score could use some work

Your credit score lets lenders know how likely you are to pay back a loan on time, so it’s one of the most important considerations for getting a mortgage.

The higher your credit score, generally, the lower the interest rate. The best interest rates (and most loan choices) go to borrowers with scores in the mid-700s and above. If your credit score is near or below 600, it’s still possible to get a mortgage, but you might have trouble qualifying with many lenders.

If you’ve experienced credit challenges, consider improving your credit before starting your house hunt. That might mean waiting longer to become a homeowner. However, it could help you qualify for a mortgage with more favorable terms and save you money over time.

You've got significant debt

Mortgage lenders don't just look at the cash you have coming in. They also look at your debt using a calculation called debt-to-income ratio, or DTI. To come up with this number, they divide your total monthly debt obligations (such as student loans, car payments and credit card debt) by your pretax income. Most lenders want borrowers to have a DTI that's 36% or less. If your DTI is higher, it's wise to work on paying down that debt — without taking on any new obligations — before considering buying a home.

You don't want to be tied down

Are you dreaming of extensive travel? Are you considering going back to school or taking some time off from the grind to think about what you really want to do with your life? Awesome. But these aren't necessarily compatible with being a new homeowner.

Unless you've got a co-borrower who's willing to support you, making a change that substantially drops your income could jeopardize your ability to pay your mortgage. And an itinerant lifestyle makes it hard to stay on top of a home's upkeep. When maintenance issues pop up or emergency repairs are needed, someone ought to be there. A burst pipe is bad enough when you're home; it's a zillion times worse when you discover flooding and water damage after the fact.

Your mortgage payments would stretch your budget

Home prices have been rising steadily, making affordable houses hard to find. And homeownership has lots of costs beyond paying your mortgage.

Use a guideline like the 28/36 rule to avoid becoming house poor: Put no more than 28% of your gross or pretax income toward homeownership costs and cap debt payments (including your mortgage) at 36%.

If your mortgage payment would leave little to no wiggle room in your budget and shifting your search to less-expensive houses isn't an option, buying a home might not be the right move for you — at least not right now.

The Bottom Line

Are you ready to buy a house? In short, yes—if you can afford to do it. But "afford" isn't as simple as what's in your bank account right now. A host of other financial and lifestyle considerations should figure into your calculations.

When you factor in all these elements, "if you can afford to do it," it starts looking more complicated than it first appears to be. But considering financial factors before you purchase can prevent costly mistakes and financial problems later.