Real Estate Financing Tips
Financing your home is a big step but worth the effort and debt in the long run. Having a mortgage is one of the most important payments you can have and missing one can be harmful to your credit for quite some time. Having your finances completely under control before launching into a mortgage is sound advice and one you won't regret.
First - Check your credit score
You don't want your lender finding out information before you do; or even information you didn't know was there. Obtain a copy of your credit report from each of the three sources; Experian, Equifax and Tansunion. You should be able to get a free copy from each once a year. If there are any discrepancies, clear those up as soon as possible. If there are issues you need to take care of or debts you will need to pay down, do that first before allowing a lender to look at it. Check out our information on Kentucky Mortgages.
Second - Save up some money
You can still buy a home with zero down but without the first step being down, it is very difficult to obtain that type of loan. Make sure you still have some money set aside for fees such as earnest money deposits, inspection costs and any extra closing costs. Mamy fees can be built into the cost of the home so ask your Cadiz real estate agent what works best for your situation.
Third - Shop around for the best loan
Just because your cousin's half brother works for a particular mortgage company doesn't mean you have to go with them. This is an extremely important investment and one that you should feel absolutely comfortable with before jumping into. Get some figures from several places before you decide. Our Kentucky Mortgage company can offer excellent rates and low cost fees for your loan. It's worth looking into!
Fourth - Don't buy more then you can afford.
Just because you were approved for a $300,000 loan doesn't mean you have to push that limit. Remember, you will probably want extra funds after the sale for fix-ups, new furnishings, upgrades. If you spend all your pennies on the mortgage you may end up with a home you really don't like.
For more information on finding the right loan and home in the Cadiz real estate area, feel free to contact us anytime.