Home Buying Tips
Make Your Offer Fly
The general Rule is that the deposit should be at
least 3-5 percent of the offering price. Remember the larger your earnest
deposit the better your chances of having the offer accepted.
The typical homebuyer searches for a home for
about 8 weeks and looks at 10 houses. If you have looked at more homes or for
much longer, sit down with your REALTOR and redefine your needs.
Do not max yourself out financially. Today's easy
lending standards often mean you can qualify for a home that is more expensive
than your financial comfort zone. Discuss your personal needs and lifestyle in
depth with your REALTOR. It can help keep your home purchase price in line with
your financial comfort level.
Remember, the stock market affects the housing
market. If the stock market is stable, housing prices remain stable. If the
stock market is declining, housing prices drop. Most people tie up their assets,
which we call wealth, in one of two main places: homes or investments. If
investment returns are high, people generally buy larger homes and spend more on
their housing needs. However, when investment returns drop, most people are less
willing to spend the high dollar for homes and are out looking housing for
bargains. Be sure where you want to put your money before you do it!
If your new mortgage reads "payment must
be------or more", you have the right to and are free to make extra
principal payments every month. This is a wise investment. Even $25 extra
a month pays your loan off sooner and saves on interest payments.
Consider paying your mortgage every two weeks. To
do this, divide your monthly mortgage payment by 2 and pay that amount every two
weeks. This equates to making 13 monthly payments every year and with a 30 year
mortgage can lead to a mortgage pay off 7 or 8 years earlier! Always check with
your mortgage lender for permission to do this and to get exact payoff
Your REALTOR® Can Help
Always check with your REALTOR® when in doubt
about purchase and financing. In this age of heavy telemarketing and abundant TV
commercials, you want to deal with a lender you can trust. Your REALTOR®
can recommend reputable mortgage representatives who can help find the best
rates and mortgage programs for you. Call Today!