| Home | Free Articles for Your Site | Submit an Article | Advertise | Link to Us | Search | Contact Us |
This site is an archive of old articles

    SEARCH ARTICLES
    Custom Search


vertical line

Article Surfing Archive



Buying A New Home - Things To Consider Before Buying A House - Articles Surfing

Buying a new home is an exciting and tiring ordeal. However, the thrill of moving into a new home can often overshadow the frustration that comes with searching, negotiating, and being out bided. The home buying process is very lengthy. Thus, you should be prepared to devote a lot of time and energy to making your dream a reality. Here are a few tips to help smooth the home buying process.

Fix Credit Blemishes and Errors

Credit reports are critical to the home buying process. Sadly, many young adults and first time homebuyers minimize the importance of maintaining a good or fair credit rating. Although various mortgage programs exist to help bad credit applicants get approved for a home loan, these loans have higher interest rates. To ensure a low rate mortgage, which will also lower your mortgage payments, improve your credit rating.

If your credit score is at least 680, lenders consider you a prime candidate. As a prime candidate, you qualify for a low rate mortgage. On the other hand, those with credit scores below 600 can expect considerably higher rates.

Before applying for a home loan, check your own credit score. If your score needs a little improvement, delay purchasing a home for at least six months and raise your rating.

Choosing an Affordable Home

Naturally, pricier homes are more appealing. However, if buying a new home, realistically determine what type of home will fit into your budget. Many mistakenly purchase expensive homes, and can barely afford the payments. Avoid becoming "house broke." Ideally, mortgage payments should be no higher than 36% of our total monthly income. This way, you can comfortably pay your mortgage and care for other household expenses.

Get a Lower Interest Rate with a Down Payment

Although down payments are not mandatory when purchasing a home, they will help you secure a low rate mortgage. Moreover, with a 20% down payment, you do not have to pay private mortgage insurance. Planning for a down payment takes time and discipline. It may require cutting expenses, or sticking to a strict budget. However, the results are worth the sacrifice.

Submitted by:

Carrie Reeder

View our recommended Mortgage Brokers Online.



        RELATED SITES






https://articlesurfing.org/real_estate/buying_a_new_home_things_to_consider_before_buying_a_house.html

Copyright © 1995 - Photius Coutsoukis (All Rights Reserved).










ARTICLE CATEGORIES

Aging
Arts and Crafts
Auto and Trucks
Automotive
Business
Business and Finance
Cancer Survival
Career
Classifieds
Computers and Internet
Computers and Technology
Cooking
Culture
Education
Education #2
Entertainment
Etiquette
Family
Finances
Food and Drink
Food and Drink B
Gadgets and Gizmos
Gardening
Health
Hobbies
Home Improvement
Home Management
Humor
Internet
Jobs
Kids and Teens
Learning Languages
Leadership
Legal
Legal B
Marketing
Marketing B
Medical Business
Medicines and Remedies
Music and Movies
Online Business
Opinions
Parenting
Parenting B
Pets
Pets and Animals
Poetry
Politics
Politics and Government
Real Estate
Recreation
Recreation and Sports
Science
Self Help
Self Improvement
Short Stories
Site Promotion
Society
Sports
Travel and Leisure
Travel Part B
Web Development
Wellness, Fitness and Diet
World Affairs
Writing
Writing B