Besides the mortgage repayment, you’ll have to consider your monthly utility bills. If your utilities have been covered in the rent you’re paying, this may be a completely brand new issue for you. Your real estate broker should help you get information from the seller on how much utilities normally cost. In addition, there might be also homeowner association or condo association dues. You will have to pay property taxes and city or county taxes. Your broker will be able to help you anticipate all these costs.
Your real estate broker can help you, but there are several things you should always consider:
- is the asking price close to the prices of similar homes in the area?
- Is the home in good condition?
- How long has the home been on the market?
- How much mortgage will be required?
- How much do you really want the home?
The closer you are to the asking price, the more likely your offer will be accepted. In some cases, you may offer more than the asking price, if you know you are competing with others for the house.
If you have all necessary documents with you when you visit your lender, you’ll save a good deal of time.
What you need:
- Social security numbers for both your and your spouse, if both of you are applying for the loan;
- Copies of your checking and savings account statements for the past 6 months;
- Evidence of any other assets such as bonds or stocks;
- Recent paycheck stub;
- List of all credit card accounts and the approximate monthly amounts owed on each;
- List of account numbers and balances due on outstanding loans;
- Copies of your last 2 years’ income tax statements;
- The name and address of someone who can verify your employment.
Depending on your lender, you may be asked for other information
Adding hidden points or fees is a way for lender to make more money off homeowners. Every homebuyer should be well-educated as to all fees and costs to their mortgage.
Homeowners may not be aware of the fees charged at closing. You should always seek mortgage lenders who do not include a pre-payment penalty or higher interest rate. At closing time, it is usually too late for most homeowners to find a new mortgage. There are a lot of mortgage options available and you should find the best ones for your current situation.
