Jul 6, 2015
Finding the right home loan can be just as difficult and tedious as finding the right home! After attending several open houses, calling your agent at all hours, or scouring the web for new home listings, you are probably growing weary of the home buying process. However, it’s important to know what to look for when choosing the right home loan.
Your Realtor should have information on lender loan requirements and can help you calculate a rough monthly figure you can afford. This amount is based on the maximum monthly payment for the home loan, taxes, insurance, and other fees. Lenders can also calculate what you can afford and pre-qualify you for a home loan even before you begin searching for a home. This pre-purchase evaluation can save you a lot of time spent looking at houses you can’t afford.
Lenders typically recommend that you spend no more than 28% of your gross monthly income on a mortgage payment or 36% on total debts.
A lot will depend on how long you plan to live in the house, other financial obligations, and potential savings gained from comparing the monthly costs of a home against the up-front costs and closing costs involved with a particular loan.
You need to be comfortable with whatever choice you make. Trust your instincts and don’t be pressured into signing for a loan that probably won’t work for you. For more information on home loans, or to find a recommended local lender, contact the helpful real estate agents at Hilton Head Island Real Estate Brokers, Inc. Call 843-785-8006 or fill out our easy contact form to get help right away.
If you want to make a little piece of The Island your own, you need more than just a road map and a REALTOR. You need a partner who can make things happen.
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