02/13/2022
The Pinterest perfect home is always the dream. Beautiful white house, spacious living room, cozy crackling fireplace, a granite white kitchen. There’s nothing wrong with that vision, except for you may not be able to afford it. With it being very likely that the interest rates will rise this year, it’s crucial that you know exactly what you can afford to spend when it comes to purchasing your dream home.
Few things to think about before you dive into the pre-approval process.
1. Do you have money saved up for a downpayment? Even some is better than none. I’m not saying to save 20 precent on a $600,000 home, that would put you at $120,000 and let’s be real, not a lot of people have that money laying around. But even 2 or 3 precent. That puts you under $15,000. Save, save, save!
2. Credit score. Your credit score will affect the interest rate on your loan, which will determine how much money you can borrow. Please, please don’t go buying a car on credit if you’re considering buying a home. It WILL affect your credit score. And your realtor might cry.
3. Your income & debt. These are huge things to look through before making a commitment to buying a home. How much debt do you have racked up? Are you spending more than you’re making? It’s one thing to buy a house but that house won’t pay off itself. Sit down, write out all your debts, your income, and make a visual plan so you can see exactly how much you are working with.
Buying a home is an exciting time of your life! As it should be. As a realtor I’m here to make that process as smooth as possible for you. With the right knowledge, proper steps, and guidance the buying process isn’t as scary as it may seem. It’s about having the right order! Have questions? Don’t hesitate to ask. Book a free 30 min consultation and lets chat!
