The biggest challenge most buyers face when purchasing a home? Coming up with that big down payment. Even if your mortgage lender only requires a down payment of 5 percent, that still comes out to $10,000 for a modestly priced home of $200,000. Many buyers simply don't have that much cash lying around.
Home Purchase Articles
Buying a home is expensive. On closing day, you’ll pay for everything from title insurance and home inspections to the credit report that mortgage lenders run on you.
With mortgage rates hovering near historic lows, the majority of home buyers today are still choosing standard 30-year or 15-year fixed-rate loans when it's time to finance a home. But unless these buyers can come up with a down payment of 20 percent of their home’s final purchase price, they’ll have to pay the extra cost of private mortgage insurance, which could add $1,000 or more to your mortgage costs each year.
With $28,000 in student loan debt when he graduated from college last spring, Patrick O'Keefe took a step that not many students would take when looking to get out of debt: He signed up for a 30-year mortgage to buy a house.
Nearly one in five people in the United States are living with a disability, according to Census Bureau data. That’s about 56.7 million people — or 19 percent of the population — who may need more help than others when buying a home.
For potential real estate moguls, or at least anyone looking to get a start in real estate investing, becoming a landlord in your own home can be a good start. FHA loans and other home loans from mortgage lenders make it easier than you may think.
Buying a home is challenging enough. Buying one while selling the home you’re still living in? That’s even more of a challenge. Unless you’re able to sell your existing home before making an offer on what you hope will become your new one, you might need a high enough income to prequalify for two mortgage payments a month. If you don’t make this much money, you might lose your potential dream home to other buyers.
It's time to close your mortgage loan. Expect a crowded room at closing day. You'll be there, of course, and most likely so will your home's seller. Your real estate agent, the seller's agent, the representative from the title company and a loan officer from your mortgage lender should all be there.