Financing a Home
Are you ready to purchase a home? Whether its your first home, move up or downsizing….the first step is financing. Knowing how much you can spend on the new home will eliminate future problems. Looking at homes in your price range is a much better use of your time rather that looking at homes you can not finance.
What Are the Options
With that first step talk with lenders and learn about the options you have – fixed rates, adjustable rates, 30 years, 15 years, etc. Today’s lending is ever-changing so talking with a lender now is important. Also in addition to speaking with a lender, go ahead and apply for your loan. This will let sellers know you are a serious buyer rather than a shopper and will help you in negotiations.
Are You Comfortable
If this is you first home, having a mortgage payment that is comfortable and within your budget is more than likely your goal. If you are moving up ,maybe renting your current home and making a small down payment on the futurer will help you make that transition to a new home. Downsizing has numerous options….small mortgage, paying cash, or financing the entire purchase.
Saves You Time
No matter what type of loan you choose, applying for the loan at the beginning will save you time when you find your dream home. You will have flexibility with a closing date so you can work with the Seller. Sellers will be more negotiable with an approved loan purchaser, so have a letter from the lender stating you have been approved for the loan. The offer you make on a home does not have to be subject to financing if you have your loan approved, again one less concern for a seller.
Now start making those calls and find your lender.