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Home Financing for Beginners

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Buying a home is a huge, future-looking and long-term commitment.  The decision to buy is not only about the purchase price of the home, but you also have to consider several factors to help make your decision.  These factors involve your current financial situation, your future goals, lifestyle, and housing needs. This article in Forbes highlights 10 home buying considerations that should be factored into whether to buy, and how to go about doing it.

One of the major factors to consider is financing. Figuring out whether you can get financing, how much home you’ll be able to purchase, and how much you can really afford to maintain, are critical issues to think about before moving forward. If you are thinking about a buying your first home, you should educate yourself on what lenders require and look for when offering mortgage loans.

 

First Time Home Buyers

In the current economic climate, financing for home buyers is very attractive and accessible. This is particularly true for first-time buyers. Lending rates are near all-time record lows and mortgage lenders have many programs and options available to make purchasing a home more feasible.

Begin by learning your credit score. Some credit card companies may offer this service for free. If  yours does not, you can choose to use a free service by doing an online search for "free credit scores". Once you have the numbers, you can refer tothis article by Experian, one of the three major credit reporting companies, which explains what the numbers mean and what is considered a good score.

Next, get your household accounting in order. Understand your assets and liabilities. Track your spending habits and calculate your cash flow.  If you don't  mind spending the extra time collecting your bills and bank statements, there are many helpful resources like this online budget planner that can help you determine your cash flow calculations.

However there are other resources that offer financial services to help you determine your financial circumstances before you apply for a mortgage.  Some people may hire an accountant to help with their financial portfolio or decide to use the free financial services provided by many banks and credit unions to their customers.

Finally, when it is time to apply for the mortgage, paperwork abounds!  Lenders need to see a big picture of your income resources and expenses to determine how paying for a loan could affect your monthly expenses. This ensures that the borrower does not take on more financial responsibility than they can manage.

To determine your financial feasibility, you will need to provide your lender almost all of the information that you have previously organized. This could include, but may not be limited to; bank statements, income earnings statements, tax forms, and any additional documents that will be useful in determining your financial ability to pay the mortgage loan.

 

Home Financing Assistance

Landmark 24 understands that the financial profile of no two home buyers are alike. We have a strong and reliable network of preferred lenders who have a proven track record helping home buyers get the financing that best meets their needs. Our preferred lenders have the knowledge, experience and customer service focus needed to make securing a home mortgage as smooth as possible.

We offer a variety of new homes in several of our South East Georgia and South Carolina communities.  Contact our professional team at Landmark 24 Homes today at 912-353-1275 to learn how we can support you in financing your new home through our preferred lender network. Our goal is to help you realize your home ownership dream!