3 Financial Tips for Home Buyers

realtor-in-woodridge-il-financial-tips

Woodridge IL Real Estate Agent Gives Home Buyer Financial Tips

realtor-in-woodridge-il-financial-tips

Buying a new home is an exciting adventure, but it can also be a bit daunting; especially when working through the financial aspects involved. Let experienced and sympathetic Woodridge IL real estate agent, Paul Titterington, walk you through some helpful hints when it comes to the finances involved in buying a house. For any other real estate services, contact Realtor Paul Titterington using the contact link above.

Financial Preparations

Before the search for a home begins, do some foundational work on your financial stability. Ideally, it is wise to pay off all of your debt. Consider these categories:

  • Student Loans
  • Credit cards
  • Automobile payments

Also, save up 10% to 20% of the down payment of the house you will be looking for. It is also a good idea to have about three months of expenses set aside in case of unexpected emergencies. No doubt this might seem to be a high financial standard. However, do as much as is reasonable. The more you prepare financially, the better shape you will be in as you approach the costs of owning a home.

Remember These Expenses

Before you start shopping around for a house, understand what you will be able to afford. In general, your monthly mortgage payment should not exceed twenty-five percent of your total net pay. Keep in mind that the greater your down payment, the lower you monthly payment will be. Using an online calculator can give you a more accurate estimate. Also, consult a qualified lender. They can consider how much you make, all your debt, and your credit score to determine the type of loan you might be able to get. For recommendations on lenders, contact Woodridge IL Realtor Paul Titterington. He can help you with every step of the home buying process.

READ  Safety Checklist When Moving Into a New Home

The cost of a house is much more than the monthly mortgage payment. You will also have to cover the closing costs and several other fees. They can total up to three percent of the mortgage amount. Remember these:

  • Appraisal fee
  • Inspection fees
  • Attorney fees
  • Loan fees
  • Title search fee

Tips for Saving Money

There’s no doubt that the best way to prepare for the upcoming costs involved with buying a house is to save, save, save. As an experienced real estate agent in Woodridge IL, it is safe to say that this is an area we can all improve upon. Here are a few tips to saving:

  • Monthly budget – create a budget that is realistic, and includes income that exceeds your expenses. Then, stick to it!
  • House savings account – set up a bank account specifically for saving for a house. This way you won’t be tempted to spend money that’s in your account after your monthly expenses.
  • Use that tax return – since your monthly budget covers all of your expenses, your tax return should be extra funds. Put it in your house savings account.
  • Save on the big things – perhaps you can forego a vacation for one year, or keep driving that old car instead of buying a new one.

Contact Realtor Paul Titterington

Real Estate Broker Paul Titterington, Platinum Partners Realtors

Address: 5200 Main St, Downers Grove, IL 60515
Phone: (630) 363-0054
Email: paultitterington@pprhomes.com

1 Comment

  1. Hector Uba says:

    Thanks for the financial tips on what to do when you are buying a home. I’m glad that you talked about the different ways you can save money over time because that can be the hardest part. My sister is looking at buying her first home but she definitely needs to get her finances straight first; I will be sure to share this with her.

Leave a Reply

Your email address will not be published. Required fields are marked *