The 6 most common and costly mistakes homebuyers make during the buying process have just been published in a recent report.
There have been many changes in mortgage regulations over the last few years, allowing you to take advantage of a higher range of mortgage options. However, suppose you approach mortgage shopping with an entirely different mindset and even make minor adjustments to the way you structure your mortgage. In that case, you can save or cost yourself thousands of dollars and years of expenses.
You should be informed about the factors involved whenever you buy your first home or move to your next home. Having the correct information can make a significant difference in this critical negotiation.
1. You can, and should, get preapproved for a mortgage before you go looking for a home.
Preapproval is easy, and can give you complete peaceof-mind when shopping for your home. Your local lending institution can provide you with written preapproval for you at no cost and no obligation, and it can all be done quite easily over-the-phone. More than just a verbal approval from your lending institution, a written preapproval is as good as money in the bank. It entails a completed credit application, and a certificate which guarantees you a mortgage to the specified level when you find the home you’re looking for.
2. Know what monthly dollar amount you feel comfortable committing to.
When you discuss mortgage preapproval with your lending institution, find out what level you qualify for, but also pre-assess for yourself what monthly dollar amount you feel comfortable committing to. Your situation may give you a pre-approval amount that is higher (or lower) than the amount of money you would want to pay out each month. By working back and forth with your lending institution to determine what this monthly amount is and what value of home this translates into at today’s rates, you won’t waste time looking at homes that are not in your price range.
Order the rest of this report NOW to find out what you need to know to secure the best mortgage for your next move.