Buying a home is the epitome of the American Dream. It is the largest investment most families ever make and involves real future planning. The plan should include a number of estimates and figures.
Current income and expenses should be listed as well as plans for the next five years. The average stay in a first home is three to five years and the prospective home buyer should consider any increases or possible deductions in income as well as having savings and contingency accounts.Plans for family, schools, and investment in furnishings or updates should be included.
Working with a professional Realtor, mortgage options, pre-approval and getting the best rate are essential. The Federal Reserve has stated its intention to raise interest rates this year and this needs to be taken into account to get the best rates locked in.Making sure the home to be considered has had a home inspection performed will lessen or eliminate extra expenses that will have a serious effect on how much the house will eventually cost. Things which the inspection list as needing repair or replacement can be used to negotiate a better price.
Be Realistic About Your Mortgage Payment
Home owners insurance and any kind of insurance to guarantee mortgage payments will lessen any financial burdens when unexpected expenses or income changes occur.Financial stability and an excellent credit record are significant factors in getting a mortgage. being realistic about income, job advancement, plans to have a family, start a new business, replace a vehicle or recreational preferences will help make realistic home buying a success.
Having a plan, doing financial homework and being able to bring a professional Realtor and mortgage lender good numbers and a good credit rating will make buying a home an exciting and happy experience.Good things happen with good plans and home buying into the American Dream is still happening.