4 Things to Consider Before You Buy a House
Tuesday, May 31st, 2016 | Author:

Owning a home is one of the greatest achievements you can make in life. However, not many people realize their dreams of being homeowners for one reason or another. It may be for lack of enough capital for down payment, or other expenses in closing costs. Sometimes it is due to lack of enough information in the real estate market. With support from a reliable Reynella real estate agency, you can minimize the challenges often associated with house hunting.

To overcome the challenges in the real estate market, you need knowledge and flexibility with stakeholders in the real estate market such as mortgage lenders. Without tips and appropriate advice on how to get a house for sale in the property market, you may not realize your dream of owning a home. That is why it is important to involve a credible Reynella real estate agency to help you explore the market.

Here is a checklist to help you go about the process of house hunting.

Have a Strong Credit Score

Your credit score determines your capability to secure a loan with your lender. The market is so dynamic that the higher your credit score, the lower your down payments and monthly submissions. For example, with a score below 660 or 680, you can end up paying higher down payment and fees. With a score between 700 and 720, you can get a good deal from lenders while 750 and above puts you in the best position in the market. A credible professional from a recognized Reynella real estate agency can help you determine your score and lead you to a relevant lender. Check at Magain Real Estate

Consider Buying a House You Can Afford

It is advisable for buyers to purchase properties within their financial reach. For instance, if you get your loan from a reliable lender, it is advisable not to let your home payments exceed 31% of your monthly income. Only under rare circumstances, you may go higher. Other conventional lenders also suggest that it is safe for buyers to keep their home payments at 28% and not to exceed.

Through a prior trial of the financial obligation, you wish to take, you can improve your chances of paying for your house without pain. Overall, engaging an expert from a recognized real estate agency in Reynella can improve your chances of buying a property with less stress.

Down Payment and Closing Costs

Down payments usually depend on your source of credit and financing. The only exception, for example, is when you apply for Veterans Affairs loan, which does not require any down payment. You can improve your chances by involving your seller to pay part of the closing costs.

Save Enough

Finally, build your savings account so you can find it easier to pay for your down payment and closing costs. Your lender does not want to deal with a buyer living paycheck to paycheck. Instead, if you can have between three and five month’s worth of mortgage payments, you are a better candidate for a home loan.

Besides, you can engage a reliable real estate agency Reynella has to offer for professional advice. To find real estate agency in Reynella, visit http://www.magainagain.com.au/

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