Landing
a mortgage loan opens the door to home ownership in Boston, MA, but it’s no longer as easy as it was during boom times.
While there are numerous new mortgage-lending regulations to protect
you, there are many new rules to protect lenders from defaults by
borrowers too. If you want to buy a home today without overpaying for
a mortgage loan, you’ll need mortgage market savvy, a serious job,
excellent credit, sufficient liquid assets, and limited debt.
While
any mistake can kill the deal, here are the top mortgage mistakes:
Flying
blind. Learn the mortgage market before jumping in. Luckily,
reliable mortgage information is at your fingertips. Seek out
independent, reliable sources to learn about the different types of
mortgages and the risks and costs associated with each.
Waiting
for the bottom. If you are waiting for interest rates to hit
bottom, you’ll never move until rates start to rise. The bottom of
any market can only be seen in hindsight. Buy a home because it’s
cheaper than renting, you are financially prepared for homeownership,
and the move fits your lifestyle plans.
Not
checking your credit. If you wait until you apply for a mortgage
and let the lender check your credit, it may be too late. Credit
report errors happen and only you can correct things that deflate
your credit score. AnnualCreditReport.com
is the only federal government approved way to get your report for
free.
Failing
to shop around. Today’s mortgage market is online and offline,
through banks, mortgage lenders, mortgage brokers, credit unions,
local, state and federal mortgage programs, seller financing, and
other sources. Check them all.
Shopping
with empty pockets. Get pre-qualified for a mortgage. That gives
you home price-shopping parameters, negotiating strength, and
credibility as a serious buyer.
Not
locking down the rate. Even with pre-qualification, rising rates
could price you out of the mortgage. With Mortgage Match, you can
lock in your rate the moment your application for a loan is approved.
Buying
over your head. Check your budget, a budget lets you know where
your money goes, where you can cut costs and what you can afford to
pay for a home, including the mortgage, property taxes, insurance,
and monthly maintenance and utilities. Borrow what you can truly
afford, not what the lender is willing to lend.
Wimping
out. Buying a home takes guts. Be aggressive. Follow the above
advice, get in touch with a local Boston, MA realtor and you’ll know where you can get tough and
where you can give. Without
the guidance of a local expert, it can be tricky to cover all of the
city's vibrant neighborhoods! As a Boston real estate agent my services extend beyond helping buyers and
sellers through their transactions. I thoroughly enjoy getting
prospective residents familiar with their surroundings and exposing
them to the best of everything Boston, MA has to offer. I hope to speak with you soon!
Lucas
Garofalo
Keller
Williams Realty
(617)
861-3631
Lucas@LucasBostonHomes.com
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with me:
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