| Financing
Financing Tips for your Winthrop Real Estate
Financing your home or property can be a tricky issue right now with the economy the way it is but really buyers have the advantage in purchasing real estate as rates are still recordingly low and the market is flooded with great homes.
The steps to successful financing
Learn more about being preapproved in my buyers tips section. Having this letter from your lender in hand will serve you well to present to sellers when submitting an offer.
How much can you afford to spend? (My Sedona real estate source has a great article about how much home you really can afford.) While a lender will tell you how much you qualify for, it's up to you to figure how big a payment fits into your budget. What monthly dollar amount do you feel comfortable committing to? Remember that just because you are approved for a certain amount doesn't mean you have to spend that much. You may need extra cash in the future to upgrade your home and you don't want to be maxed out.
- Shop around for the best loan.
Compare fixed-rate with adjustable rate mortgages. Look down the road. Where will you be in 15 years, 30 years? What obligations might you have? Take those things into consideration as you choose a loan. So many have been lured into ARM's now days that they are now foreclosing because they just couldn't make the payments. Make sure you are aware of all the wording and issues in the loan documents. Consider the newest trend in Energy Efficient Mortgages.
While you're shopping for a loan consider all costs involved. These may include:
Interest rates
Broker fees
Points (each point is one percent of the amount you borrow)
Prepayment penalties
Loan term application fees
Credit report fees
Appraisal costs
Lenders will want you to gather all the following documents to verify your loan application. Lenders will want to know your job tenure, employment stability, income, assets (property, cars, bank accounts and investments) and your liabilities (auto loans, mortgages, installment loans, credit-card debt, household expenses and others). Some issues may seem mundain but even issues as small as verifying your name can be crucial because of situations that occur with other people having the same name as you. We don't want their credit issues comingling with yours.
If you need more help on finances or anything in the Winthrop WA real estate area, don't hesitate to contact our offices. We have agents that specialize in all areas of the Methow Valley.
Other Useful Sites: RE/Max Seaside Properties offers our buyers and sellers all listings in Whidbey Island real estate and has brokerage services for those looking to buy or sell on Whidbey Island. Check back often for all updates on Whidbey Island homes and properties.
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