Are you considering a mortgage in Arizona? At The Potempa Team, we guide you with the mortgage loan process and help you in choosing the right mortgage for you. Get your pre-approval today.
Tips on home mortgage loans
Some loans programs require a minimum of 10% of the loan amount as down payment while some only require 3.5% for the down payment. The critical point to remember is when you pay more money as down payment; you only have to pay a lesser amount as the monthly mortgage insurance. Hence choosing a home within your budget can help you pay a decent down payment.
It is not wise to be driven only by the interest rate when it comes to mortgage loans. Choose a lender that offers a lower principal balance with fewer fees. Furthermore, you will be more successful with your home investment when you buy a property within your affordable limits. A good investment should allow you to put down a decent amount for the down payment and a comfortable monthly installment.
Do not buy a costly house just because you are pre-approved for a higher amount. Make sure not to spend more than 28% of your total income on home mortgage payments. For more tips and advice on a mortgage in Arizona, get in touch with one of our Loan Officers today.
Why is it important to get pre-approved?
Getting pre-approved allows you to have an accurate idea of your affordability which can help you look for houses within a certain budget. This way, you can narrow down on the neighborhoods where you can search for homes.
This will say you and your realtor a lot of time and effort. Sellers find pre-approved buyers more promising than those without a pre-approval. This is because they can start negotiating with buyers who have a pre-approval right away without wasting time. For more tips on pre-approval and home buying, speak to one of our consultants today.
Who should opt for a Jumbo loan?
Getting a jumbo loan depends on your credit score, assets, and the price of the house that you are buying. Jumbo loans are usually offered to those who fall in the high-income category and earn between $250,000 and $500,000 per annum. A jumbo loan exceeds the limits of the Federal Housing Finance Agency and home buyers go through a very strict and rigorous credit requirement process when applying for a jumbo loan.
Getting approved for this loan requires outstanding credit scores in addition to a very low debt to income ratio. However, jumbo loans stand at par with conventional loans with regards to the average APR. Jumbo loan applicants are expected to pay a down payment of roughly 10% to 15% of the total property price.
Get in touch with The Potempa Team today for pre-qualification and pre-approval. We understand how daunting the process of home mortgage can be, let us simplify it for you. For more information, get in touch with us today.
