by Judie Docs, Executive Officer, North Coast BIA, CSP, MCSP, CGP, CMP, MIRM
If your New Year’s resolution was to become a homeowner – – this resolution will last long into the future – long after you’ve stop bothering to set the alarm an hour early to go for a run. Deciding to become a home owner is one of the best resolutions you can make.
Here are some tips to help you make good decisions for your homeownership resolution.
Figuring Out Your Finances
First, determine out how much you can afford. This depends on factors including your credit rating, your current expenses, cost of a down payment and interest rates. Don’t forget that you will need a down payment up front and money to make monthly mortgage payments.
Check your credit report carefully. Inaccurate information on your credit report could result in lenders offering you loans with higher-than-market interest rates or denying your application altogether.
Finding the Right Mortgage
Then find a lender you trust. Ask your friends, family and neighbors who own their homes for recommendations. Work with a qualified lender on getting together a budget and collecting helpful advice before buying a home.
When shopping for a mortgage, consider all of your options. There are many choices in terms of a loan and not everyone is right for every buyer. Don’t forget to research Federal Housing Administration (www.fha.com) programs that offer loans with lower down payments. They are often a good option for first-time buyers.
Keep in mind that there are tax advantages to being a home owner that can help offset costs. Depending on your specific situation, often the closing costs and some other first-year costs of purchasing a home are deductible. And the mortgage interest deduction (MID) enables many home owners to reduce their taxable income by the amount of interest paid on their mortgage loan each year. More than 70 percent of home owners with a mortgage are able to claim the MID in a given year.
The U.S. Housing and Urban Development website (portal.hud.gov) has loads of information for home buyers, including tools to help you figure out how much you can afford, how to shop for a loan, information on how to avoid predatory lending and an explanation of the settlement process.
Selecting Your Neighborhood
Finally, learn about the neighborhoods where you are interested in buying. Visit areas you are interested in at different hours, talk to people who live there, and find a real estate agent that you trust and knows the neighborhoods you like.
With careful and thorough planning, you will be moving into your new home before you know it. If you have questions about the home buying process, contact the North Coast Building Industry Association.
For more information about the home buying process, contact us, or visit ncbia.com
Save the Date!!!!!
NCBIA Home & Remodeling Show
Saturday, February 17, 2018 – 10:00 a.m. – 6:00 p.m.
Emerald Events Center, 33040 Just Imagine Drive, Avon
See exhibits and displays featuring new home builders, remodelers, banking, mortgage lending, windows, doors, roofing, siding, painting, flooring, landscaping, cabinets, countertops and much more!
Visit our website – ncbia.com for a list of our members, as well as our new For Consumer section and job posting (under the About Us tab), and be sure to visit our Virtual Parade of Homes. Or, give us a call Monday through Friday from 8:30 a.m. to 5:00 p.m. at 440-934-1090.
We are your local not-for-profit trade association representing member companies involved in all aspects of home building, remodeling, and other aspects of residential and light commercial construction. Like us on Facebook – – or better yet share us.
Homeownership is truly a cornerstone of the American way of life. North Coast Building Industry – Come Build with Us!