Finance Info

Before you start looking for the home of your dreams, you will want to go through the process of determining what you can afford. You can work directly with your banker or go through a mortgage broker. There may be additional fees when going through a broker, however, they will be able to present you with more alternatives than your local banker.

If you are currently renting, you will want to compare not only the loan payment to what you are now paying in rent, but also the taxes and insurance. This is an area often overlooked. You will also want to keep in mind that you don’t have a landlord to call when something goes wrong so you will want to start building up a cash reserve for those unexpected emergencies.

Although mortgage lenders are more strict than a few years ago, it is still possible to obtain financing for your new home. The good news is that interest rates are their lowest in over a decade. Now is definitely the time to purchase a home if it is within your means. You will probably need a 20% down payment and these funds need to come from your own assets. Most banks will not accept a second mortgage, funds from relatives or other borrowed funds.

Are you looking to purchase a home that needs some work but has a good selling price? Many banks are offering what is called a HomeStyle Renovation Loan. This type of loan is not new but it is starting to regain popularity. You can role the cost of the renovations into the loan if you can show that the value of the home will meet or exceed the loan value once the renovations are complete.

If you are a veteran or a first time home buyer, you will want to consider VA or FHA loans. There is usually a lot more paper work with this type of loan, but the requirements for qualifying for a loan is a lower. Not all homes will qualify for this type of loan. Be sure and tell your Myrtle Beach Real Estate Agent that you are looking for this type of loan and they will make sure to show you only homes that qualify.

There may be instances where you can find property where the owner is willing to finance all or part of the loan. You definitely want to pay for the advice of an attorney before getting locked into this type of loan.

You will save time and frustration if you pre-qualify for you loan and stay within your budget. Once you know what you can afford, contact your Myrtle Beach Real Estate Agent and we will help you build your dream.

Check the links below for more information on financing our home.