How to Get the Best Value When Buying a Home

Buying a home can be an intimidating process. With all the excitement most people feel when looking for a home to purchase, some can make mistakes. With some careful preparation your perfect new home may be just around the corner.

First, carefully examine your finances. Look at your total monthly income, your credit rating, and total monthly expenses. Keep in mind home ownership comes with a few added responsibilities over renting. Maintenance and upkeep can get expensive, and are costs in addition to the monthly payment. Decide how much you can easily afford in a monthly payment, and remember to have some money left over for savings.

The second step in buying a home is to shop around for the best loan. Contact several lenders and compare interest rates. This knowledge will be useful when negotiating the interest rate on your home loan. After you have financing secured, you can start house hunting, the fun part.

Now that you have financing and know about what you can safely afford to spend, decide what you want in a home. Begin by making a list of your must have features, want to have features, and must not have features. For instance, you decide you must have at least three bedrooms to have room for your family, a large kitchen, and fenced in back yard. A formal dining room would be nice, but is not necessary, and you would like to have a garden tub in the master suite, but could live without it. The home must not have electrical or plumbing problems, and needs to be ready to move into immediately. Looking at a two bedroom fixer upper would be a time and energy waste for you.

You know what you are and are not looking for in a home, look around. Look at several different areas for homes, chances are the first one you look at will not be the perfect fit. You can look online, at foreclosures, at real estate listings, in newspapers at for sale by owner properties, and with a local real estate agent. When you have found the perfect fit for your family and budget, make sure to thoroughly and carefully read all documents before closing. All parties involved need to understand the fine print of the sale contract.

Buying a new home in today’s real estate market can be a daunting task, but with a little preparation, and careful consideration to your needs, wants, and budget, the perfect home is only a short time away.

Atlanta Mortgage Brokers

Atlanta Mortgage Brokers help borrowers initiate the loan. They verify credit and property aspects of the loan and provide the information to the lender for assessing the credit worthiness of the borrower. Mortgage brokers also help the borrowers in sourcing the best loan, which suits his needs and requirements.

The customers select mortgage brokers through referrals. Asking friends and relatives and taking their suggestions seem to be the best way for the selection of a broker. However before selecting, the customer needs to assess whether the broker is providing the correct estimate of the total cost of the home.

An Atlanta Mortgage broker offers services through Atlanta mortgage brokers are paid agents who bring lenders and borrowers together and build a network relationship. They give advice to borrowers if they face problems in qualifying for a loan and also regarding credit issues.

Once the broker has secured a home loan for a customer, he will provide all the necessary state and federal documents required for the transaction. Since the Atlanta mortgage broker has the accessibility of the different lenders, he will allow the borrower to find a suitable loan according to his needs. Once the broker secures the loan at the wholesale price from the lender, he will add his markup to the price.

There is a syndicate of mortgage brokers called the National Association of Mortgage Brokers (NAMB) established in 1973. This is the national trade association of the Atlanta mortgage broker industry with 46 state affiliates and more than 24000 members. It promotes the mortgage broker industry by providing services like education, professional certification and the government affairs representation. The Atlanta mortgage industry is subjected to 10 federal laws and five federal enforcement agencies.

Atlanta Mortgage Refinancing

Mortgage lenders also provide refinancing to borrowers. The Atlanta Mortgage Group Inc. offers “No Cost” Refinancing, in which the borrower is not required to pay closing costs. Generally there will be fees associated with obtaining a mortgage relating to relating to loan origination, appraisal, preparation of credit report, attorney fee, title fees etc. The lender or the borrower depending on the terms and conditions of the mortgage must pay these costs.

In the case of “No Cost” refinancing, the lender will agree to pay the fee. In turn he will charge the borrower a higher rate of interest for the entire life of the loan. The excess interest may range from 0.5 to 1 percent depending on the size of the loan. However it makes more sense to pay the normal closing costs of the loan and pay lower interest rate.

Another refinancing company in Atlanta, Garrett Mortgage Inc., also offers refinancing of home mortgages in and around Georgia. It also offers suggestions to borrowers about the feasibility of opting for refinance at some time to the borrower.

Home mortgage refinancing reduces the current monthly payments of the borrower, results in paying off the mortgage faster and also reduces interest risk by switching over from the adjustable interest rate loan to the fixed interest rate loan. There is no need to go for private mortgage insurance in the presence of refinancing option. One can save substantially with a mortgage refinance. A mortgage refinance calculator, which determines the monthly payments, the interest savings and the number of months for reaching break-even point on the closing costs will help the borrower in deciding whether it is useful to refinance at a lower interest rate.