Now is the time! Own a home, rather than renting. If you have been paying attention to the news over the past few years, you know that the housing market has been in a deep depression. Luckily we live in Katy, Texas where the market is still above the nations average! From a sellers perspective, sometimes a market like this makes life a lot harder. But for a buyer, it can mean a wider world of options and limitless opportunities.
There are many factors that have contributed to the market’s instability, and one of them is that lenders are reluctant to give loans to homebuyers. After a housing crisis, it is not surprising that lenders would be more demanding. If you want to become owners rather than renters, you need to present a pristine financial profile. Here are a few tips to take into consideration so that you may become a homeowner in Katy, Texas in 2012:
*Pay down your debt before you even apply for a mortgage. The smaller your debt load, the better your debt-to-income ratio which lenders use to determine how much they will allow you to borrow.
*Check up on your credit. Paying down your debt in the first tip, will have the added benefit of improving your credit. Having good credit is another essential element in smart home buying. The better shape your credit is in, the better your potential to get the mortgage of your dreams.
*Make the biggest down payment possible. Zero down loans are out there but making a sizeable down payment can also save you money on mortgage insurance. A minimum of 20 percent down is a good idea, and if you can do more, so much the better. If you don’t think you can afford a down payment of 20 percent on the house you are considering, there are other options. Make sure when CHOOSING; choose the option that is budget friendly to you and your income level.
*Be an informed buyer. There is a seemingly endless list of things to know about buying a home, and the faster you want to buy, the faster you will need to learn it all. One of the best things you can do is find a qualified real estate agent to help you in your process. Agents have a wealth of knowledge and can assist you in every step of the way. The more you know, the better equipped you will be to make smart decisions that will make you a happy homeowner for years to come.
If you have any questions or would like to see any of the real estate in the Katy/ Houston Area, I would love to be the agent you choose to make your dreams come true. You may reach me at 713-253-5678 or at Angela@AngelaKhomes.com.
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About Angela
Those who are able to buy right now should be jumping into home ownership immediately – while interest rates are at historic lows.
I ran the numbers in preparation for writing an article for one of my real estate copywriting clients – and found that a home price would need to drop 11% in order to offset a 1% rise in interest rates.