Shopping for a New Home
New homes feel more like home when you get the best deal on them. There’s something satisfying about knowing that you’ve shopped and bargained wisely. This goes for more than just homes, but for now, let’s focus on your mission as a homeowner. You want a great deal. Here’s how to increase your chances of getting one.
Don’t stop at the first loan offer you receive from a lending agent. When you compare multiple lenders and really do your homework, you increase your chances of nabbing a great deal on housing. Get loan quotes from as many different reputable lenders as possible. When companies have to compete for your business, they’re often willing to go the extra mile on a deal.
Local real estate agents are an asset to anyone shopping for a new home. Why? Well, they just know the area a little better than outsiders. When a local real estate agent has vast experience in a specific area, they tend to pick up on new deals as soon as they’re freshly available. They’re also more familiar with which neighborhoods make for a prime buy. Given that the neighborhood you buy a home in is sometimes as important as the house itself in terms of overall satisfaction with the buy, it’s always a wise idea to use local agents who have the knowledge of your prospective area down to a science. Choose an expert who is familiar with the Weston, Florida area.
Work on your Credit Profile
Your credit score will play a huge part in any type of mortgage you qualify for. Before even shopping for a home, it’s always a good idea to get your credit score and begin making quick fixes as soon as possible. Obviously, if you could pay everything back all at once, that would be ideal; most people aren’t able to do that. Chip away at the problem a little at a time. Get all your payments manageable and current. You’ll have a much better chance of saving money on a house if your credit rating is higher.
Save your 20% Down Payment
Lenders love people who come in with a down payment in hand. It simplifies their job, and it lessens the amount of money that you have to borrow all at once. The 20% down payment allows you to avoid mortgage insurance as well, something that will significantly increase what you pay for your new home. Start budgeting and putting away for that down payment!
Make a Seasonal Purchase
Homes are cheaper in some seasons (yes, that’s true). Winter is the ideal time to buy a home if you’re trying to save money on homes in Weston, Florida or anywhere else in the world. It’s estimated that you can save as much as $20,000 by waiting until winter to buy a home. House shopping will be the most frugal in a winter coat and gloves.
Buy a Fixer-upper
If you’re willing to “fix up” a home, then you’re going to save a lot more money when you go to buy. You don’t want to buy a home that’s going to become a money drain, though, so do your homework and get your home inspected so that you know exactly how much in repairs you might have to pay out. In many instances, you can fix a home up cheaper than you can by just buying one that’s already repaired and ready to go. Your agent can help you strike a hopeful balance between “fixer-upper” and “dead weight.”
Be Picky about Mortgage Loans
Not all mortgage loans type are created equally. Some of them are going to save you money, while others will cost you in the long run. Interest rate isn’t the only thing you should look at when applying for a mortgage loan. Different types of loans will net you better results (for example, VA loans tend to be very lucrative for the borrower). Discuss types of loans with your agent. They will be knowledgeable about this type of savings strategy.