When shopping for a home, a car, groceries or clothing most people have no problem spending money if they feel they are getting a good price. As a consumer, we all want to know, “Is this the best deal?” So when it comes time to purchase a home in Philadelphia this is no different.
If you are thinking it is time to make the big purchase, below are a few key factors you should consider.
First, the state of the economy dictates what interest rates the mortgage market has to offer and in recent months this has been somewhat unpredictable. In addition, the lending guidelines have been changing to adapt to the current environment. This means it is important to stay in contact with your lending representative while you are working with a local Real Estate Agent to shop for a home. A mortgage pre-approval is usually good for a 3 month time period and after then it is always good to check back with your Mortgage Consultant to make sure the financing you were pre-approved for is still available. This is commonly overlooked during a homebuyers search.
Second, when shopping for mortgage rates you must keep in mind your qualifications as a buyer. What are your credit scores? How much money are you looking to borrow? What is your down payment? Good credit warrants the best interest rates. Did you know you can also keep your rate lower if you are borrowing less than 80 percent of the value of the home? And although ARM’s (adjustable rate mortgages) can sometimes cost less upfront, often times you can save a great deal of money by securing your loan in a fixed rate mortgage from the beginning.
Lastly, remember to do your research. Experts recommend you discuss financing options with different lenders to compare quoted interest rates, closing costs and their credibility. It is usually best to work with a well known, reputable lender as they are most likely to do what they say. Since purchasing a home is no small feat, it is important to trust the person who is responsible for providing you your largest financial obligation.
For more information on mortgage rates and how you can get pre-approved for a loan please visit my website taramgore.com.
Comments
I found this article very informative. I dream of one day owning my own home and I feel that this article gets me one step closer to realizing that very dream. As a young man I lived in a hotel room for much of my life and it never felt like home. I often went to visit my friend at his beautiful home after he inherited it when his parents moved to Tokyo. Well now I'm rambling, I suppose. Thank you Tara Gore and God bless you.
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