Down payments don’t grow on trees 🌴🌴🌴. Between high rents, deepening student loan debt, and the cost of living going up – it can take a long time to save the traditional 20% down payment. Even buyers with good credit scores can still face challenges when it comes to buying a home. They may not
Mortgages
You’re ready to buy a home. You’ve put in an offer and the seller has accepted it. Congrats! Now, you’ll be expected to pay a small sum of money upfront to: Show the seller that you’re serious about buying their home Make it worthwhile for the seller to take their home off the market Provide
Buying a home can seem easy enough, right? You find the home you want, you make an offer, get a mortgage. And voilà! The house is yours. If only it were that simple. There are way more steps involved in the home buying process – and some of those steps can feel challenging. Once you
A home purchase is a big investment, and it’s an investment many people are eager to make. That’s probably because they’re aware of the many benefits that come with homeownership, like building equity, tax advantages and improving their credit history. However, for some of us, a good credit score is the thing that’s holding many
Home loan refinancing is all the rage nowadays. In 2020, mortgage refinances (aka refis) were so popular that 1 out of every 10 refinances was done on a mortgage loan that had ALREADY been refinanced at least once in the previous 12 months.[1] That’s a lot of refinancing! Historically low interest rates have made refinancing
The 30-year fixed-rate mortgage has been one of the most popular ways that homeowners in America have financed new home purchases. What is this mortgage mainstay’s secret of success? Is it the right option for you when you buy? What if you want to refinance? Read on to find out more. How Does a 30-Year
Just when you thought you learned everything you needed to learn about buying a home, you come face-to-face with one of the last pieces of the process: closing costs. In a 2020 survey of REALTORS®, the National Association of REALTORS® reported that 25% of people ready to buy weren’t fully educated on closing costs.[1] Handing
Buying a home and navigating the mortgage process can be difficult, especially if you can’t come up with a down payment or your credit score isn’t perfect. But, while the process isn’t easy, it’s not impossible, especially with the help of government home loans. Government-backed loans can give people who have a hard time acquiring
If you’ve been through bankruptcy, you may feel more cautious than ever about taking out new loans – especially on your home. But if you’re careful and well informed, refinancing can help you save money and unlock the equity in your home at a low-interest rate. What Are the Reasons To Refinance After Bankruptcy? There
House hunting can be both exhilarating and exhausting – you’re all swept up looking at other people’s interpretation of a dream home. While there might be that one property that could tick all your boxes, it’s not a guarantee. So, what if you had the opportunity to build your own dream house? A construction loan
But when it comes to getting a conventional mortgage, new isn’t always better. That is, when it comes to starting a new job during the process. In fact, it can potentially complicate the process. When you apply for a mortgage, the lender wants to see your recent job history because it lets them assess your
We talk about land loans a lot less than home loans. And that’s not surprising. According to the National Association of REALTORS®, 87% of home buyers buy existing, previously owned homes.[1] But some life goals may need a piece of land as their launchpad. And there are lots of reasons why someone might buy land,
Traditionally, a lot of home buyers have seen building a brand new home as the ultimate homeowner experience to aspire to. That’s still true, but nowadays, older homes are gaining a lot more interest (just ask the producers over at HGTV). And despite the renewed interest in historic homes and remodels, building a house from
Do you qualify for an FHA loan based on your credit score and credit history? And even if you do, is an FHA loan the right choice for you? If your credit score is under 620, you may not qualify for a conventional mortgage, but a Federal Housing Administration (FHA) loan could be the answer
Feeling cooped up in your metro area? You’re not alone. According to recent Census data, 86% of U.S. residents live in metro areas. That leaves 14% of the population spread out in the rural areas of the country – which spans 72% of the nation’s land area.[1] So, if you’re looking for more space, there
Helping out a friend or relative has got to be one of the best feelings in the world. Whether it’s referring them for a new job, facilitating a conversation between them and a person of interest at the bar, or handing them a stick of gum in their time of need — it all comes
Let’s be real, past generations of home buyers had an easier time coming up with down payments and closing costs. And that was great for them, but times have changed. For most home buyers today – especially people trying to buy their first home – student loan debt, credit card debt and TWO recessions are
Whether it’s a vacation home or a multiunit rental property with tenants, real estate investors can take pride in their financial savvy. With the right investment property, you’re not only earning income from your tenants, but you’re building equity. The other side of the proverbial coin is expenses. The biggest single expense for investment property
If you’re planning on becoming a homeowner right now, you may be feeling frustrated. Home prices are on the rise and available housing stock is getting snatched up every day. That may leave you wondering if you’ll end up paying more for a house that isn’t even the home of your dreams. What if –
Whether it’s a bad first date, an awkward family dinner or a client meeting that goes on forever, life is full of situations that may require a smart exit strategy. The best exit strategies are as drama-free as possible and can reduce or virtually eliminate any hard feelings. Home buying can be a lot like
Home buying can be a challenging experience for a variety of reasons. One of the biggest challenges for home buyers is saving up enough money to cover a down payment. Maybe that’s why a study from the National Association of REALTORS® (NAR) found that in 2019 more than 32% of first-time home buyers got a
Getting preapproved for a mortgage is the first big step in the home buying process. It can help you get your purchase offer accepted because it signals to the seller that a lender is willing to loan you money to buy a house. A preapproval is a lot of things, but here’s something it isn’t:
Feels like we can’t escape financial pundits telling us to stop eating out and to streamline our streaming subscriptions, so we can save for a down payment. Good advice. But how many decades will that take? Between stagnant wages, student loan debt and everything from cereal to cars getting more expensive (according to the Bureau
It’s a seller’s market. And that means home buyers are up against stiff competition. Acting fast and coughing up as much cash as possible can be the difference between a successful purchase and losing out against other eager buyers. The types of homes you’re looking at might also give you a competitive edge in this
Let’s get into this. A jumbo loan is exactly what you think it is: a ginormous load of cash. We’re talking over $550,000 to buy a house. These loans are ideal for buyers who have strong financial profiles and need access to much higher loan amounts than they would get under a conforming loan’s limit
If you’re a homeowner, refinancing your mortgage can be a great way to: Get a lower interest rate (especially if interest rates are low) Reduce your monthly mortgage payments Shorten your repayment period Take advantage of your home equity But before you can enjoy those perks, you have to pay your closing costs. Remember the
Is it even daytime TV if you don’t catch an ad or two featuring charming, silver foxes like Tom Selleck, Henry “the Fonz” Winkler, or Joe Namath telling you about the benefits of a reverse mortgage? The spokesperson may change, but the message rarely does: “You’ve worked hard to pay down or even pay off
Buying a house can be challenging. But getting a mortgage preapproval before making an offer can make buying a house go a lot smoother and work out in your favor, especially in a hot housing market. Home shop smarter, not harder. A mortgage preapproval letter proves that you not only want the house – but
Imagine being this close to calling it quits on your house search – and then it happens. You find THE house AND it’s in your price range. Granted, it’s affordable because it needs some serious repairs, rehab and renovation, but you love it and you’re willing to do what it takes to transform your fixer-upper
For some first-time home buyers, it can be hard to put together a down payment for a home. Just consider the following: Taking all of this into account, it’s easy to understand why it’s harder for today’s potential homeowners to save up for a down payment, especially when compared to previous generations. But don’t despair.