1. Get Your Hands on an Expert Real Estate Agent
When buying a house, you are advised not to experiment with fresh and pop-up realtors in the town. Try and search for a good and experienced real estate agent. He will save you a lot of money and time. Spending your money on an inexperienced realtor will not only increase your expenses, rather you will end up spending a lot more money than you actually anticipated.
As a side advantage, when you are moving to a new house, realtors know junk removal and Miami Dade County garbage pickup schedule. They can recommend some good services.
2. Determine Your Monthly Mortgage
This tip is very important prior to even committing to your realtor about the mortgage of the new house. The general rule followed is not to spend more than 25% of your monthly income on your mortgage payment. The way you can determine this is by adding all your monthly incomes (you can even add your spouse’s monthly income if desired) and multiply that figure by 25%. That will give you your monthly mortgage amount.
3. Having Some Amount Saved for Down Payment
When buying a house, it is crucial for you to at least have 20% of the amount of down payment, when paying to buy your house. This will save you a lot insurance money in the name of a private mortgage. So, save yourself from the lifelong payment of mortgage loans and insurance and start saving money for the 20% of the down payment.
4. Having a Healthy Credit Score
This tip is a no brainer. If your credit score is high, then your loan will be granted to you in a cheaper price. Financial terms like interest rate and lenders fee is directly related with your credit score.
5. Pay Off the Balances on Your Credit
This tip is related to increasing your credit score. You cannot increase your credit score if the balances on your credit are unpaid. Your credit utilization ratio, or more simply, the balance on your credit as opposed to your credit card limit, should be less than 15%, if you aim towards increasing your credit score.
6. Select the Time Span of Your Mortgage Amount
Most generally, when people ask which type of mortgage to select, the 15-year fixed rate type is mostly preferred. You can easily find out your capacity of buying a house by simply multiplying your monthly mortgage amount with the current interest rate, then you can select the percentage of down payment you are willing to pay and multiply that amount with your percentage of down payment. In this way you can find out your affordability for buying a house.
7. Having More Sources of Income
Having more money coming towards you by the end of the month is more impactful than saving up money or lending from the bank. Having multiple sources of incomes makes it easier for you to save more money, think about your expenses and it will also aid in paying off the monthly mortgage amount easily and more quickly. This is a better option if you want to buy a house without waiting for a long time.
When everything is done and you are moving to your new house, do use junk removal service by knowing junk pick up Miami Dade County schedule. It will enable you to remove most of the unnecessary stuff from your house. This will also save moving costs.