Basics of Property Management: Screening Potential Tenants

Recommendations For A Better Home Buying Experience

17 March 2022

Jesse Obrien

The purchase of a home is a large undertaking, an important purchase, and one that you want to make the best decisions as you go through the process. Be sure you get the best loan possible and plan for homeownership costs with a solid savings plan. The following provides you some recommendations for a better experience in the real estate market with your home purchase.

Look Into a Mortgage

A big part of your home purchase is the actual mortgage loan to complete your purchase and the real estate title closing. And to get the best mortgage for your situation, you may need to research your options, either on your own or with the help of a mortgage broker. There are a lot of different loan programs, based on the price of the home, the type of area in which you are buying, and also your credit and down payment ability. If you are a first-time home buyer there are mortgage options to help you get the loan you need with low down payment requirements, instead of having to pay a large 20 percent down payment.

Evaluate the type of mortgage and the interest rate, which is usually based on your credit score. The lower you can get the rate, the less interest you will pay over the loan. You can check into conventional loans or mortgages that are guaranteed by the government, such as FHA, USDA, and VA loans if you are a veteran. Shop around to compare fees that come with a mortgage loan, such as the origination fee and any other loan processing fees. These can vary from lender to lender, and checking around can help you find a lower-cost fee mortgage to help out with expenses.

Plan For a Home Savings

Another important detail when you buy a house is to be prepared for the costs that come with owning a home. Along with your mortgage payment, you will need to be able to cover home expenses and maintenance to keep your home in good condition and protect your investment. You will be the owner and cannot rely upon a landlord or property manager to handle repairs or maintenance emergencies.

If your water heater breaks down and you need to buy a new one, will you have the funds to do so? If you have a plumbing clog, will you be able to clear it on your own or will you need to hire a plumber to make the repairs needed? You may have put together a home savings plan to help in the home's purchase, but continue it even after you buy the home so you have funds set aside for replacing the roof, for example, or making maintenance repairs and other necessary work.

For more information, contact a real estate agent in your area.

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