After getting your credit in order, the next step is to do research on the houses that you can afford. This is simple today, since many online tools can help in doing these calculations. These tools will give you a rough idea of what you’re getting yourself into by calculating income, expenses, and mortgage affordability. However, don’t forget to involve the mortgage professional because he or she is the one who will help determine the best loan for your needs after the calculations are done. Finding the best mortgage deal is made even more complicated by the fact that the mortgage rates change daily, or even several times in a single day. One can get a good mortgage deal from a mortgage broker, a bank, or a mortgage lender. It’s up to the buyer, depending on the situation. However, if you’re going to buy a home and your down payment is less than 20%, you’re going to need private mortgage insurance. That can add about $100 per month for a home valued at $100,000. To find the best mortgage professional to guide you through the process of buying a home, seek advice from real estate agents, colleagues, or friends. Banks are generally known for having the fewest mortgage options because their products are tailor-made to suit the bank’s interests. However, they can also be more flexible, as they are the ones lending the money. If the buyer owns other substantial assets, making a deal with a bank will not be a complicated process. Mortgage brokers are known to offer the largest amount of options. Working independently and with several financial outlets, brokers can find the best loan for the buyer from different lenders. Now that you’ve identified the house that you want to buy, and you have a professional mortgage advisor, how do you get the
103
Powered by FlippingBook