• Steps to Prepare for Homeownership   • 10 Things to Take the Trauma Out of Homebuying   • Tips for Finding the Perfect Neighborhood   • Tips for Buying in a Tight Market   • Your Home Inspection   • What Not to Overlook on a Final Walk-Through   • Homeowners Insurance   • Title Insurance

Steps to Prepare for Homeownership

1. Decide how much home you can afford. Generally, you can afford a home equal in value to between 2 and 3 times your gross income.

2. Determine if you have enough downpayment to qualify for a mortgage. Ideally, you should have 20 percent of the purchase price as a downpayment

3. Consider other sources of help with a downpayment. For example, if you have an IRA account, you can use money you've saved for buying your first home without paying a penalty for early withdrawal. Also check with your state and local government on downpayment assistance programs for first-time buyers.

4. Get your credit in order. Obtain a copy of your credit report.

5. Determine how large a mortgage you can qualify for. Also explore different loans options and decide what's best for you.

6. Organize all the documentation a lender will need to preapprove you for a loan.

7. Determine if you have to cover your closing costs. Closing costs, including taxes, attorney's fee, and transfer fees average between 2 and 7 percent of the home price.

8. Calculate the costs of homeownership, including property taxes, insurance, maintenance, and association fees, if applicable.

9. Find an experienced REALTORŪ who can help you through the process.

Bordertown Realty, Inc.- 744 Ryan Dr. Suite #103 - Hudson, WI 54016
Office: (715)-386-6000 Toll Free:1-888-217-5965   
Questions or Comments?  Email us at: jean@BordertownRealty.com
The materials contained within this page may not be reproduced without the express written consent of Bordertown Realty, Inc. The information herein is believed to be accurate and timely, but no warranty as such is expressed or implied.

Powered By RealEstateHomepages.com