Frequently Asked Real Estate Questions-Ep. 30

Are mortgage interest rates going to drop even lower?

This is one question I don’t know the answer to. It is possible, but why wait for them to drop when they are already CRAZY low! I am shocked they keep going down and at some point they have to start going back up. Who knows how fast that will happen! My advice is to take advantage of them NOW! Don’t wait! If you are a first time home buyer or ready for a bigger house, this is the time!

Let’s compare quick the monthly principal and interest payment for a 30 year, $200,000 loan at different rates.

3.25% $870.41

4.25% $983.88

5.25% $1,104.41

6.25% $1,231.43

7.25% $1,364.35 (BTW, this was the rate I got on the first house I purchased in 2001)

As you can see 1% can make a BIG difference and give you a lot more buyer power! Give me a call if you, or someone you know, is interested in learning more about the process. 402-305-4335.

Frequently Asked Real Estate Questions-Ep. 29

Are there any costs to get pre-approved for a home mortgage loan?

In most cases there is no cost to you to get pre-approved for a mortgage loan. Some mortgage lenders may ask that you cover the cost of the credit report, but most do not. I know several great mortgage lenders I can refer you to that will not charge you anything to get pre-approved.

You will not need to pay anything out of pocket until you find your new home and have an accepted contract on it. Then you will meet with your lender and get all the paperwork going to get the full approval on your loan. At that time you may be asked for a deposit check to cover the cost of the appraisal that will be required from your lender to approve the loan.

If you are considering purchasing a new home, but don’t know where to start, call me! I will give you a quick over view of the process and help you get started with your pre-approval.