Rockville MD Home Buying | Important home buying information | Dan Krell 301-529-8475
Don’t let your home buying experience be overwhelming. Before you plan your Sunday trip to open houses, it’s important to understand what you need to do, as well as be aware of new regulations and market trends that may affect your transaction.
Have you calculated how much home you can afford? Affordability is determined by your financial state and interest rates. Your financial factors include such items as your income, debt, savings, and expenses. Interest rates impact on your ability to purchase a home because your monthly payment is based on the rate you lock into; as the interest rate increases, so does your payment. To determine how much you can afford, you need to contact a licensed mortgage lender for a pre-approval.
Have you calculated your housing budget? Once you know how much home you can afford, make a housing budget. Making a housing budget will make clear how much you will need to allocate toward housing related expenses, which includes: utilities, maintenance, and other expenses such as cable and internet. Additionally, if you have an adjustable rate mortgage, take into account any interest rate adjustment as well as increasing real estate taxes. Many home buyers get into trouble because they underestimate their monthly housing expenses.
Understanding your rights as a home buyer can help you too. Visit the website of the Consumer Financial Protection Bureau (consumerfinance.gov). where you can learn about consumer protection laws such as RESPA (Real Estate Settlement Procedures Act), Equal Credit Opportunity Act, Fair Credit Reporting Act, and the Truth in Lending Act.
A good buyer agent is not only a good negotiator, but does their best to protect your interests and guide you through the process. Let me help you through the new TRID homebuying process – Let me help you purchase your new home. The first step is completing the form below: