Ready to buy a home?

Buying a home is one of the biggest investments you’ll ever make. And while a mortgage is obviously a large financial commitment, before you even get to your mortgage, you’ll be required to come up with a down payment. Typically, lenders want buyers to contribute a down payment of 20% of the purchase price of the home. So, if a home is on the market for $500,000, most lenders want a down payment of at least $100,000. Being able to contribute the down payment shows lenders you’re financially secure and can take on the cost and commitment of a 15 or 30 year mortgage. But if you’re like most people, you probably don’t have $100,000 at your disposal and will need to save for your down payment. Coming up with that large of a sum can be a challenge, but with the right strategy, you’ll be able to save your down payment much more quickly and easily than you might think. Here are four tips to grow your savings account, get your down payment and get into a new home. 1. Write everythin...

When it comes to buying real estate, you want to make sure the property you purchase is the right fit for your needs. For some buyers, purchasing a home that needs some work is the ideal situation. For others, getting a turnkey home that’s move-in ready is the only option they’ll consider. And for still others, both seem like reasonable options. The question is: which is for you? There are pros and cons to both fixer uppers and move-in ready homes. The important thing is to recognize which is the best fit for you, your budget, and what you want out of a home. Let’s take a look at the pros and cons of fixer uppers and move-in ready homes to help you determine which is the better fit for you: Fixer uppers Save Zillow Lee Hayton The House on Michaelmas Ave - a short story by Lee Hayton Fixer uppers are, as the name implies, homes that need a bit of TLC – or fixing up – upon move in. Pros Discounted price The major draw of fixer uppers is the price. Since they need work, y...

When thinking about investments and retirement goals, many people think about owning rental properties. After all, they pay for themselves, right? They can be excellent additions to a savings and investment portfolio, but there are also risks. Here are the things to consider. First off, the good news If you are considering purchasing a rental property, just about all of your expenses are tax deductible (unless you rent to family members). Your mortgage loan interest, property taxes, and maintenance expenses are all allowable deductions. Your accountant may find other deductions for you as well, such as a 27-year depreciation rule. Now for the risks Many areas are too expensive for rental investments. You will want to know that your monthly cash flow from the property meets or exceeds your expenses. In pricey locations, you may wind up upside-down and spending more each month than you are taking in. Believe it or not, prior to the Great Recession, many investors did not worry...

Rent isn’t cheap. It’s tough to afford a place on your own. So, you have roommates. Maybe it’s a friend or two. Maybe more.  But it certainly beats living “alone”…in your parent’s basement. But you’re still not banking money… You’re saving some money by renting with others. But not tons.  It certainly makes your housing costs more affordable, but it isn’t like you have so much extra every month to just go out and spend on whatever you want. So, it’s probably hard to even imagine saving enough to eventually  buy  a house. You figure that day will come eventually. But not anytime soon. You’ll figure it out someday. Probably not until you find someone you want to settle down with. Not until you and a significant other can combine forces (and bank accounts) to make that dream happen.  But, at this point, you wrap that thought up with a nice bow and put it on a shelf.  You rationalize it, and think… I’m still young. I’m  too  ...

Why would someone write an article on buying versus renting a home? What’s in it for the author of the article? Why would you read one? What is it you want to hear? Do you just want confirmation and justification for what you already believe and want to do? Or, are you looking to be convinced otherwise? These are all good questions to ask yourself if you find yourself reading an article on whether it makes more sense to buy a home, or rent a house. There are “reasons” to buy, and “reasons” to rent. People want to make choices based upon reason. So, if you start reading about whether to buy versus rent a home, you’ll certainly be given “reasons”, like: When renting you’re just paying someone else’s mortgage.  You’re throwing your money away when you rent. You have nothing to show for it. If you buy, you’re building equity. Many of the richest people built their wealth through real estate. Real estate is a great long-term investment. Values always go up in the lon...

Shopping For A Home? Here’s The Best Day To Go Looking It’s Sunday morning.  You’re scheduled to go out and see houses later on with your real estate agent. But it’s nasty outside. It’s beyond pouring. You can’t even imagine walking from the car into a house. You’d rather just cancel the appointment and hang inside, maybe watch some TV. You can always go see the house next weekend. But should you wait for next weekend?  Should you even wait to go see houses only during the weekend?  There’s five weekdays you can go see houses. Is there a better day than a Sunday? What if someone else scoops up the house before you end up getting out to see it? Right?! Sure. Totally a possibility. And, totally a reason to motivate and go see that house today in the rain. But that’s not the point of this article. The point is that the best day to see a house is not necessarily Sunday. It’s also not necessarily  not  Sunday. The best day to go see a house is...