fbpx

Tag: home shopping

Posted on

5 Tips for Starting Your Home Search

Everyone wants to time their home purchase “just right.” Ideally, the picture-perfect “buyer’s market”; plenty of well-­‐priced listings, low-interest rates, and a slow-moving real estate market where the buyer has plenty of -me to decide on an offer. The reality is that the current market is a fast-paced environment where the best homes move quickly, and serious homebuyers need to be prepared to act when they find the right home.

Fortunately, starting your home search the right way is easy by following these simple tips:

  1. Find a Lender and Get Pre-­‐Approved – Know what you can afford before you start your search. By getting a pre-­‐approval letter, you demonstrate to sellers that you are serious when you write your offer, and it proves you can afford the home.
  2. Research Neighborhoods – Each community will have its own personality and advantages; before you spend time looking at homes, choose the right area for your lifestyle and family needs.
  3. Pick the Right Home Style – Learn about the various home styles available in your community. Do you want a single story? Large yard? Do you like older homes or historic-­‐ style properties?
  4. Make a List of Must-Have and Like-­‐to-­‐Have – There is a difference! Make a list and be ready to compromise when appropriate by ranking the items.
  5. Take Notes – Often, a home buyer can see 6-7 homes in a single day; take notes and, if possible, take pictures so you can remember the things you like and don’t like about the homes you see once you get home.

In a fast-paced real estate market, spending some time preparing for your home search will

help you move quickly when you find the right home for you and your family.

Posted on

How Do You Know If You Can Afford To Buy a House?

Do you feel that you’re ready to buy your first home? Tired of paying your landlord’s mortgage? Do you want to put down roots and start building equity for yourself? There are many reasons why people decide it could be time to buy a home. The costs associated with buying and owning a home can feel overwhelming but fortunately there are simple steps you can take to see if you can afford to buy a home. 

Talk With a Lender 

The best step you can take to start your home buying planning is to find a good lender and meet to talk about your financial situation. Your lender will look at your income, savings and credit and then talk about your needs. They will help you explore the loan options available to you and the down payment, saving reserves and closing costs requirements. 

Can You Afford the Mortgage? 

Typically rent payments are less than a mortgage payment; this can feel unsettling until you understand the qualifying formula. Because mortgage interest is deductible (speak with your tax professional for exact details), most lenders look for the buyers to spend approximately 30% of their GROSS income on the loan payment and no more than 36% on all other debt. 

Ex. If your monthly gross income is $5000/month, you can spend $1500/month on your mortgage payment. 

If you think you’re ready to buy a home, find a good lender and start talking about your unique situation. Learn the costs and benefits to help you determine if you can afford to buy a new home. 

%d bloggers like this: