3 Tips to Help You Achieve Your Home Ownership Goals

admin | February 28, 2019

home Buying a house will probably be the largest investment you make and not only is it a financial challenge, but it’s also complicated. It’s one area where the more you know, the better your position becomes.

Besides familiarizing yourself with the local inventory, the next best thing to do is learn about financing the purchase.

Explore the Market

Discover what kinds of homes are available in your area by exploring online real estate websites.

You’ll be able to get a sense of prices, sizes, and styles, along with neighborhoods.

There may be considerable price differences between one area of town and another, along with home features and sizes.

Familiarizing yourself with what’s available in the area will help you focus your attention from the outset.

You’ll also be able to check the quantity and quality of neighborhood schools, along with shopping and services.

Singling out a few neighborhoods beforehand gives you time to visit them periodically. You can explore the parks nearby, visit the shopping areas, and get a sense of the traffic and the people.

Talk to Lenders

The best source of information regarding a mortgage loan is a mortgage lender.

They will help you understand what it takes to get qualified in terms of your income and debt load.

They will talk about down payment requirements and give you estimated payment scenarios.

A mortgage lender can pre-qualify you a mortgage, or if you’re serious, pre-approve you. There is a considerable difference between the two.

Pre-qualification tells home sellers and real estate agents that you could qualify for a mortgage, while a pre-approval indicates the lender has already approved you for a loan, up to a certain amount.

Most home sellers don’t want anyone who isn’t pre-qualified or approved to tour their homes.

They don’t want people who aren’t serious about buying their home to take up their time.

Assess Your Finances

Once you’ve talked with a mortgage lender, you’ll know what it’s going to take to buy a home.

The lender likely talked to you about the qualifying ratios that help you decide how much home you can afford, along with your maximum debt load.

Knowing the down payment requirements and how much you’ll need to save is a big part of getting into your first home. There may also be local down payment assistance programs for which you qualify.