March 28, 2018

Home Buying

Buy A New Home In Brentwood

If you are considering buying a home, the process can be daunting. Whether you enlist the aid of a real estate agent or do it yourself, it will behoove you to take it one step at a time and become an informed consumer. You can do a lot of research on the Web to help you figure out how much home you can afford, what neighborhood will fit your lifestyle and budget, what type of mortgage is right for you, and what the current market value is for the home specifications you desire. If you can find real estate professionals you trust, you’ll receive plenty of assistance and guidance along the way. Real estate agents and brokers, lenders and lawyers are all available to help you find your dream home in Brentwood.

Again, thanks to the Internet, voluminous information about buying a new home or a re-sale in Brentwood is just a click away. If you’re wondering how to buy a home in Brentwood with bad credit, how to buy a foreclosed home or how to get the best deal in a rising or falling market, you’ll be able to do as much research as you need to feel comfortable at any step of your search for a new home. Here are some questions you’ll need to answer when you embark on the journey to buy your dream home.

Are you ready to buy a home?

For many, buying a home is the biggest investment of their life. It’s important to understand the costs, risks and benefits of home ownership. Here are some questions you will need to address:

  • Do you have a consistent source of income?
  • Have you had steady employment for at least 2 years?
  • Do you have good credit?
  • Is your total debt manageable in comparison to your income and expenses?
  • Do you have money saved for your down payment and closing costs?

A key advantage of owning a home is it’s yours – there’s no place like home! It’s can possibly be less expensive to own a home than to rent and home ownership can reduce federal taxes. The tax savings from deducting interest on your home mortgage and property taxes can actually offset to some degree the total cost of owning a home. Building equity in your new home is the greatest source of financial security for most people.

Homeownership has many benefits but it does have some risks. Your monthly mortgage payment may or may not be larger than a rent payment. However, a tax professional can help you determine if the tax benefits of homeownership can in effect lower the overall cost of a higher mortgage payment. You are now responsible for the repair and maintenance of your home, so if your refrigerator breaks down, you, not the landlord, have to pay for the new one. Also, property values go up and down so you take a certain financial risk and if you need to sell your house quickly, you may be at the mercy of the market.

How much home can you afford?

To figure out how much house you can comfortably afford to purchase, estimate your monthly expenses – this includes your mortgage payment, property taxes, insurance, improvements, maintenance and miscellaneous expenses, homeownership expenses before taxes, tax savings and homeownership expenses after taxes. Remember to allocate some funds in your budget for repairs, maintenance, landscaping, furniture and decorating. You may wish to consider making lifestyle changes such as skipping a few years of vacations or postponing large purchases such as a luxury automobile so you can get your financial house in order while you are preparing to buy a new or re-sale home.

What type of mortgage is right for you?

When you’re looking for a mortgage for your new home, just remember that if you opt for a fixed-rate mortgage, your monthly payments will always be the same. There are so many mortgage options today, it pays to shop around and get advice from lending professionals.

A good real estate agent can expertly guide you through the sometimes confusing home-buying process. From financing to home comp values to negotiating the offer to closing the deal, a qualified agent can be worth his or her weight in gold.