A Few Things You Should Know When Buying a Home
1. Shore up your credit.
If you are going to need to get a mortgage to buy your home, you need to make sure your credit report is as clean as it possibly can be. A few months before you begin looking for a home, get copies of your credit report. Remember that everyone is entitled to one free credit report a year. Make sure all the facts on your report are correct, and fix any problems you discover.
2. Only buy a home you can afford.
There is a rule of thumb out there that says you should only buy a home that runs roughly two-and-one-half times your annual salary. However, there are many online calculators available that can help you get a handle on how expensive a home you can afford. These calculators will give you information on how your income, debts, and expenses can affect how much you can afford to spend on your new home.
3. You don't always have to put down 20 percent to be able to qualify for a loan.
There are numerous options when it comes to public and private lenders who can lend you the money you will need to purchase your home. If your credit is good enough you may qualify for a low-interest mortgage that requires a down payment of less than 20%. The only way to know for sure, though, is to speak with a mortgage specialist, something you may want to do before beginning your home search so you have a realistic budget.
4. Whether you have kids or not make sure you pick a home in a good school district.
Whether or not you have kids, you should always try to buy a home that is located within a good school district. You may ask: Why does it matter how good the school district is if I don't have kids? The answer is: When it comes time to sell, being located in a strong school district helps boost property values as it is a critical component for most buyers as they evaluate your home.
5. Seek out expert help when purchasing your home.
Some people think that because of unprecedented internet access to market data, using a real estate agent is no longer necessary. This isn't the case. All home buyers are far better off using a licensed Realtor who knows the nuances of the market intimately. Buying a home can be overwhelming and is complicated. It is far more than just determining the accurate purchase price. A professional agent can help guide you through the maze of issues that are sure to arise during the purchase process.
If you are going to need to get a mortgage to buy your home, you need to make sure your credit report is as clean as it possibly can be. A few months before you begin looking for a home, get copies of your credit report. Remember that everyone is entitled to one free credit report a year. Make sure all the facts on your report are correct, and fix any problems you discover.
2. Only buy a home you can afford.
There is a rule of thumb out there that says you should only buy a home that runs roughly two-and-one-half times your annual salary. However, there are many online calculators available that can help you get a handle on how expensive a home you can afford. These calculators will give you information on how your income, debts, and expenses can affect how much you can afford to spend on your new home.
3. You don't always have to put down 20 percent to be able to qualify for a loan.
There are numerous options when it comes to public and private lenders who can lend you the money you will need to purchase your home. If your credit is good enough you may qualify for a low-interest mortgage that requires a down payment of less than 20%. The only way to know for sure, though, is to speak with a mortgage specialist, something you may want to do before beginning your home search so you have a realistic budget.
4. Whether you have kids or not make sure you pick a home in a good school district.
Whether or not you have kids, you should always try to buy a home that is located within a good school district. You may ask: Why does it matter how good the school district is if I don't have kids? The answer is: When it comes time to sell, being located in a strong school district helps boost property values as it is a critical component for most buyers as they evaluate your home.
5. Seek out expert help when purchasing your home.
Some people think that because of unprecedented internet access to market data, using a real estate agent is no longer necessary. This isn't the case. All home buyers are far better off using a licensed Realtor who knows the nuances of the market intimately. Buying a home can be overwhelming and is complicated. It is far more than just determining the accurate purchase price. A professional agent can help guide you through the maze of issues that are sure to arise during the purchase process.
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