by: Nick Messe
Nothing comes easy, but with the proper attitude, a savings plan and good advice you will be able to own your own home. Saving for a down payment may seem like a daunting task, but it is certainly achievable if you are willing to make a concerted effort.
The best place to start is by reviewing your current income and expenses. Most likely, your current income will not go up overnight. However, most people who are able to commit to saving money will tell you it is now how much you make but rather how much you save. A smart saver will accumulate more than someone who earns more money, but spends it all every month.
Examine your recurring expenses, and decide if you are willing to forego things such as the premium cable tv channels. Other discretionary expenses such as dining out are great sources for potential savings. By eating out three times fewer every month, you can quickly save at least an extra thousand dollars over the next year towards your house down payment. Due to large numbers of foreclosures across the US, legislation has been enacted to prevent lenders and homeowners overextending themselves. Foreclosures have caused a ripple effect from the banks, all the way to the neighborhood level in certain communities. What this means is that in certain cases, your ability to save a down payment and obtain a mortgage has become more difficult.
The Housing and Economic Recovery Act of 2008 (H.R. 3221) has been a major game changing set of laws. The bill was signed by President Obama in July 2008, and some of the major changes include:
- FHA loan amount revisions
- Home tax buyer credit (for 2009)
- LITHC (Low Income Housing Tax Credit) program revisions - Neighborhood stabilization plans
- Amendments to seller paid down payment rules
In many circumstances, sellers can no longer legally assist buyers by providing down payments towards the purchase of a home. What this means is that potential home buyers will have larger out of pocket expenses in order to get a mortgage loan completed. It is best to start planning as early as possible, so that you are prepared when the right house comes along. The best option is to make an appointment to speak to a reputable lender as soon as possible. A lender can provide guidance and assistance in areas such as
- Determining how much of a loan you can qualify for, based on your income and expenses
- Breaking down the rules into simple English for you to understand the impacts of new legislation
- Provide resources to make sure your savings plan is enough to reach your down payment goals
A helpful lender can also provide you with resources to make sure your credit score will be sufficient in order to obtain a mortgage. This includes fixing your credit report, in cases where there may be harmful errors or items that are quite easily eliminated or adjusted.
The best place to start is by reviewing your current income and expenses. Most likely, your current income will not go up overnight. However, most people who are able to commit to saving money will tell you it is now how much you make but rather how much you save. A smart saver will accumulate more than someone who earns more money, but spends it all every month.
Examine your recurring expenses, and decide if you are willing to forego things such as the premium cable tv channels. Other discretionary expenses such as dining out are great sources for potential savings. By eating out three times fewer every month, you can quickly save at least an extra thousand dollars over the next year towards your house down payment. Due to large numbers of foreclosures across the US, legislation has been enacted to prevent lenders and homeowners overextending themselves. Foreclosures have caused a ripple effect from the banks, all the way to the neighborhood level in certain communities. What this means is that in certain cases, your ability to save a down payment and obtain a mortgage has become more difficult.
The Housing and Economic Recovery Act of 2008 (H.R. 3221) has been a major game changing set of laws. The bill was signed by President Obama in July 2008, and some of the major changes include:
- FHA loan amount revisions
- Home tax buyer credit (for 2009)
- LITHC (Low Income Housing Tax Credit) program revisions - Neighborhood stabilization plans
- Amendments to seller paid down payment rules
In many circumstances, sellers can no longer legally assist buyers by providing down payments towards the purchase of a home. What this means is that potential home buyers will have larger out of pocket expenses in order to get a mortgage loan completed. It is best to start planning as early as possible, so that you are prepared when the right house comes along. The best option is to make an appointment to speak to a reputable lender as soon as possible. A lender can provide guidance and assistance in areas such as
- Determining how much of a loan you can qualify for, based on your income and expenses
- Breaking down the rules into simple English for you to understand the impacts of new legislation
- Provide resources to make sure your savings plan is enough to reach your down payment goals
A helpful lender can also provide you with resources to make sure your credit score will be sufficient in order to obtain a mortgage. This includes fixing your credit report, in cases where there may be harmful errors or items that are quite easily eliminated or adjusted.
Tidak ada komentar:
Posting Komentar