July 19th, 2017 5:39 AM by Jackie A. Graves, President
your first home is a large investment. Educate yourself on the common mistakes
made with mortgage loans, down payments, and taxes.
When you’re a first time home buyer, it can be difficult to know
where to begin in the buying process.
you trust the information you’re reading or being told about mortgages, down
payments, property taxes, loans?
there’s research you can do on your own and advice provided from professional
agents and home buyer assistance programs.
is an abbreviated version. Feel
free to read the full article here.
has their idea of a dream home. Maybe yours has a walk-in closet, an inground
pool, a library, etc. And while your dreams of owning a home can come true, it
shouldn’t put you into serious debt.
to mortgage loan company Fannie Mae,
potential home owners should realistically spend no more than 28% of their
income on housing.
more than 30% puts you at serious risk of becoming “house-poor,” which refers
to a person who spends a large portion of their income on homeownership
including mortgage payments, property taxes, maintenance, or utilities.
when you begin your initial search of home listings in your area, there a
number of monetary calculators to keep in mind beyond the home’s listing price.
What is a home mortgage loan?
for your first home mortgage can be pretty intimidating. But arming yourself
with knowledge makes you one step closer to being an experienced home owner!
mortgage is a loan secured by property or real estate. A homebuyer receives the
money necessary to purchase a home and in exchange the money lender is promised
to be paid back within a certain time frame and at a certain cost.
mortgage is legally binding. While you are the possessor of the home, the loan
lender owns the property until it is completely paid for.
so, the lender has the right to legally claim your home if you do not follow
the terms of the loan.
learn how to apply for a home mortgage, feel free to read
the entire article.
experienced home buyers need help from seasoned professionals to be sure
everything goes smoothly and they’ll have all their questions answered
Real estate agent, mortgage professional, real estate attorney
you’re new to the housing market you should hire a real estate agent, a loan
officer or broker, and maybe a lawyer.
should hire an experienced home inspector while you are under contract and on
the day of the closing. If two inspections sound like overkill, just remember
that you’re making a huge investment and a lot can go wrong in a house in as
little as a night, like flooding caused by bursting pipes. You’ll want to have
a detailed inspection done of the plumbing, roof, electrical wiring, etc.
Down payment assistance programs
also something called down payment assistance programs that many first time
home buyers overlook because there’s a stigma that it’s only for low-income
home shoppers. But that isn’t true.
are down payment assistance programs for mid-income home buyers as well. These
programs include a handful of lender who can offer no-interest loans or grants.
aware of the aforementioned steps when buying a home will hopefully keep you
from becoming house poor. But, you shouldn’t stop being smart about saving once
you close the deal on your new home.
a responsible homeowner, you’ll most likely also have to pay for other
important expenses such as health, life, and car insurance for you and your
family. And since you just moved, it’s the perfect time to shop around for a
new insurance company that offers cheaper coverage.
should look into bundling your home, auto, and other insurance policies under
one insurance provider to
unlock the most discounts.
don’t be afraid to shop
around for new insurance policies from different providers
every 6 months to a year. It could end up saving you hundreds of dollars a
rates are constantly fluctuating and it’s up to you to stay on top of policy
changes or discounts.
By Micaela Allen - To view the original article click here