How to Choose the Best Mortgage for You (Part 1 of 3)
September 28, 2022 | Posted by: Keith Leighton
How to Choose the Best Mortgage for You (Part 1 of 3)
Shopping for a mortgage can affect how much you pay each month and over the life of the loan. Doing your research before you buy can save you money and make sure your home buying, owning and selling experience are positive ones!
Every home buyer is different, and therefore, there isn’t a one-size-fits-all mortgage. The best mortgage for one person, may not be the best mortgage for you and your home. Here are some steps to follow to choose the best mortgage for you, personally.
1. Know Your Budget
Before you start shopping for a loan or even a home, you need to assess your financial situation. Buying a home is one of the largest purchases a person can make in their lifetime, and you want to be able to afford it.
As you being this process, remember this: Mortgage lenders are sales people. They make money off your loan, and often they approve you for much more money than you can actually afford.
Make sure you know what your budget is each month for housing before you start looking for a home loan. Once you know how much a month you can afford on a mortgage payment, it’s time to get pre-approved for a mortgage. This means you need to know your credit history, your current debts, and how much you make each month. You may find that your credit is too low, or your debts are too high to get a reasonable loan, and you may not be pre-approved! This is why it’s the first step.
Once your financial situation has been assessed and you know how much home you can reasonably afford, it’s time to start looking at the different mortgage options. To get help, contact a DLC Ideal Mortgage professional today for expert advice you can count on!
