HOW MUCH DO I NEED TO SAVE TO BUY A HOME?
(Published on - 1/2/2021 11:31:42 PM)
Closing costs and down payments are factors to consider when saving for home ownership, let's break them down
- 3 days = 3 days after submitting their loan application buyers receive a loan estimate and 3 days after submitting their loan application buyers receive a closing disclosure. The closing disclosure includes final details about the loan and the closing costs.
- A portion or all of the closing costs can be negotiated to be paid by the seller as part of the deal and some lenders help with them but be prepared at the outset for closing costs to be 2-5% of the purchase price.
- Down Payment = traditionally this is 20% of the loan amount to avoid paying PMI (primary mortgage insurance - fee added on to your monthly payment) however you can have less down and pay PMI or you may be able to qualify for various down payment assistance programs.
- Don't forget other fees for utilities and moving costs/storage of things if there is a gap and those short term living arrangements.
Have questions? Want more information on how to get started? Just want to chat through things as you begin to prepare? Contact me and I will help. I can provide information on down payment assistance programs and put you in touch with lenders so that you are able to evaluate your credit, what you can afford and what you need to have saved. The process doesn't have to be scary nor does it have to be rushed. It only requires a quick phone consult and you can be on your way in your time.
