AVOID THESE TWO BIG MORTGAGE MISTAKES

We all know that searching for and viewing potential homes is the fun part of the home-buying process. The not-so-fun part: The mortgage. It doesn’t have to be a drag if you are proactive and find a suitable lender early in the buying process.

But if you don’t pay attention to the details, your mortgage can end up dragging down the enjoyment of your new home and cause some major regrets. Here are a few mistakes to avoid to ensure that you love your mortgage terms as much as your hew home.

Don’t find your home first: You will need a pre-approval letter from your lender when you make an offer on your dream home, so shopping around for the best mortgage rate should be one of the first steps in the home buying process.  It’ll give you time to get your affairs in order to qualify for the best rate, could save you thousands of dollars in the long run, and you won’t feel rushed to accept an unattractive loan because you’re worried you’ll miss out on your dream home.

Don’t forget your real budget: There’s often a big difference between what a lender says you can afford and what you can actually afford. Your debt-to-income ratio doesn’t include the money you spend on hobbies, or the cost of commuting to work, or maintenance and utility costs. Really sit down and examine your spending before committing to the loan amount the lender is offering. You won’t enjoy your home nearly as much if it’s eating into your favorite hobbies.

2017-07-24T19:43:55+00:00July 24th, 2017|Buyers, Finance|Comments Off on AVOID THESE TWO BIG MORTGAGE MISTAKES

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