While it may be nice to have a home with five bedrooms, an eat-in kitchen, and a four-car garage, how many of us really need this much space? The best approach is to look at a few particular aspects of your life and lifestyle to make the right choice. What Is The Size Of Your Family And Will It Grow In The Near Future? If you are a newly married couple who plan on having children, purchasing a family home with ample room to grow may be the right choice for you. Childless couples, retired couples, or singles may want to rethink the large home and opt for something a little more size appropriate. Do You Need Office Space Or Like To Entertain? If you use your home primarily to meet your daily needs, such as a place to sleep, eat, and relax, you may want to consider a home with a large den or office space and a formal dining room. Do You Plan To Stay In Your Home Long-Term? If you are just entering the housing market and plan to live in several houses or in several locations throughout your life, you really don’t need your dream home […]
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With the financial markets in crisis and the cost of homes plummeting, the subprime loan options that were responsible for this crash in the first place are becoming less common. But there are still lenders offering these risky loans, and this article will convince you to avoid what may seem like an offer too good to refuse, especially if you are having trouble finding a traditional loan. Here are three reasons why you should avoid subprime lenders! High Interest Rates The most obvious reason to avoid subprime loans is the high interest rate that comes with them. In most cases, if you fall into the subprime category you represent a higher risk than normal for the lenders, and the increased rates protect their investment. Inevitably in this category a certain number of borrowers will default on the loans, and the higher rates ensure that the lender still makes money. This means that you will be paying more for your house than it may ever be worth, and it essentially no longer becomes an asset, but rather a liability. Questionable Business Ethics Another reason to stay away from subprime lenders is their track record of questionable business practices. The bailouts of […]
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First time buyers can qualify for some helpful loan terms that make getting a loan a bit easier as well as make purchasing a home more attainable. The term “first time buyer,” however, is a little misleading. While these loans are certainly available to those who have never before purchased a home, there are other circumstances under which you may qualify. True First Time Buyers First time buyer loans are, as the name implies, made available to those who have never before purchased a house. These loans are designed to help ease the burden of down payments and other financial difficulties. There are a range of state and federal programs to help those who have never owned a home before; not all true first time buyers will qualify for every program. Previous Homeowners Under many programs, you can be considered a first time buyer again if you have not owned a home in several years—the common rule is three years. That means that even if you did buy a home before, but sold it three or more years ago and have used alternative housing, such as renting, ever since, you are considered a first time buyer. These programs are also […]
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Once your loan is approved, you will be ready to take the final step that will lead to the door of your new home. Many homebuyers are intimidated by the closing process, but it’s not as complicated as you may think. In fact, finding the right home is much more difficult than closing the deal. Making It Official The closing process begins with the borrower and lender meeting in the presence of a notary public. This is a person who is authorized to oversee, create or certify contracts, deeds and other legal documents. At the conclusion of the signing, the notary public will provide their stamp and signature, which certifies the identification of everyone present and the signatures on the loan application. Handing Over The Cash When you meet with the lender to close the loan, you will be required to produce your down payment and, if required, the closing costs. Ask your lender about acceptable payment methods, which may include a cashier’s check or other certified funds. If you have an account with the lender, a personal check may be accepted in some circumstances. Review The Loan Documents At closing, this will be your final opportunity to review the […]
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