Waiting Until 30 for a First Home Mortgage
People who wait until they’re 30 for a first home mortgage lose thousands of dollars every year renting when instead they could buy a home. Your first mortgage is a great way to invest your money and to have something to show in return. Plus, as a responsible adult, it allows you tax write-offs and long term equity. It can be a stressful process if we allow it to be, but the bottom line is, it beats renting, and it certainly beats living in your parents attic.
Before getting into your first home mortgage, there are few important items to consider to make the process a lot less stressful.
Mortgage pre-approval. Before talking to your mortgage lender, be sure to have your financial paper work in order. This includes pay stubs, bank account statements, proof of rent, and proof of other incomes. Also, a mortgage lender will want to see a good credit score. If you have a good history of paying your debts on time, this shouldn’t be a problem. If your credit is average, be able to show pay stubs and bank account statements to the mortgage lender to prove you can afford it. If a dispute exists on your credit score, be able to provide the documents that resolve why the dispute was put there.
Educate yourself. There are different mortgage options to choose from when buying a home. It’s important for you to understand these different options and chose the one the best fits your finances & budget.
Appraisal value & inspections. Know the appraisal value of the home you plan to buy. No one ever wants to pay more for a home than what its market value is, unless, of course, you like throwing away money. Get the home inspected. This includes a pest inspection which tells you whether the home has little critters like termites and carpenter ants. Also, be sure to get a home inspection, which tells you if the home is structurally in tip-top shape, if there’s roof damage, about the heating and cooling system, and if there are any plumbing and electrical conditions.
You can start the entire process with a free eBook we put together specifically for first time home buyers like yourself. Download "The Essential Guide to Buying Your First Home" at the button below and get on the road to that first home mortgage today.
(house photo: Flickr user Vagabond Shutterbug)