You can hunt for a Door County home anytime, 24/7, because the internet is seasonless. How do you begin, how do you decide what you want—a single family home, a condo, a piece of land—and where do you want to be on the Door Peninsula?
Choose With Your Heart and Your Head
First-time home buyers, and vacation home buyers, should choose with their heart and their head.
Whatever property you buy will be both a home and a major financial investment. My job is to help you find a home you absolutely love, a home that speaks to you. It’s the same if you are shopping for a home site or acreage, it has to speak to you. The the home or future home site will need to fit your life and is it located in a neighborhood that just feels right. At the same time, the property should be a solid financial asset-one that is structurally sound and appears to be well-positioned to appreciate in the future.
In the end, finding that perfect place means balancing emotion and rationality. When we are looking for your future home, I want to allow you to let your hearts guide. When it’s time to buy, I will help you step back and think with a cool head. And when you want to sell the house, I hope you will be thankful I did.
Getting Started – Can I Afford It?
One of the fears that creeps up on people when they are house hunting is, “Can I afford it”. Maybe not right away, but probably after they find a home online that they really love.
If the time is right for you, then NOW is the time. There is always a home you can afford to buy that will be a smart purchase for you. The only questions are what and where. If it is “what” that matters to you, then keep pushing out the “where” until you find it. If it’s the “where” that matters most to you, then keep narrowing your “what” until you find it. No matter what the features it has or where it’s located, there is always a good buy for you. We just have to find it.
If you are paying rent, you can afford to buy. From a financial point of view, in the United States, the tax savings on a mortgage loan almost always makes up the difference between rent and a mortgage payment.
The earlier you buy, the earlier you will benefit from equity buildup and will be well-positioned for any future appreciation. The fact remains, the sooner and more seriously you begin the process of buying your new home, the sooner you’ll find the best buy for you.
What About A Down Payment?
Downpayment requirement options can vary. One thing for vacant land, another for a primary home, maybe another for a vacation home. Are you willing to pay mortgage insurance (if you do not have the full downpayment)?. Lots of considerations.
There are a wide variety of down payment options available for you.
As a first time home buyer there may be options available to you that require less than a 20% down payment. In some cases something as little as 5% may be required, and from time to time there are programs requiring NO down payment.
Do not let the lack of a large down payment prevent you from investigating the home-purchasing opportunities. There are many legitimate and sound financing options to choose from, and it only makes sense to investigate which might be right for your particular circumstance.
Delaying your purchase while you save up a down payment could mean delaying all the benefits derived from home ownership, and delaying could wind up costing you more money in a higher interest rate or increased property values as the market recovers.
Call me and I’ll get you set up with a lender who can help you know how much you can afford and what your downpayment options are.
How About My Credit Score
I can’t buy a home because my credit isn’t very good.
A less-than-perfect credit score won’t necessarily prevent you from buying a home.
Typically, there are two types of credit challenges – a poor credit history or no credit history. First, while it is most valuable to have a good credit score, a poor one should not prevent you from talking to a couple of lenders to see what options are available to you. You might be pleasantly surprised at the outcome.
In the spring I worked with a couple whose credit score was not where it needed to be. They had credit card balances, he had not been at his job for a year, and they had a couple of late payments. They talked with my lender and she helped them get on the right track–to budget to get that credit card paid off and to be timely with their payments. By fall, he had been at his job for the year, they paid off the credit card and worked hard to be timely with their loan payments, and best of all, they were able to qualify for a loan at a good interest rate and buy a house that was just right.
A good loan officer can help you resolve your credit challenges, and even though this can take a few months to implement, it immediately gets you on the path to ownership.
Another challenge may be no credit because you are new to the workforce or have not made regular purchases on credit. In either case, there are still possible solutions that you will want to explore. One avenue for first-time home buyers is to secure financing with the help of a cosigner such as a parent or close relative who is willing to stand by your ability to make the payments.
It is also worth noting that there is no better way to improve or establish your credit rating than by having a mortgage and making timely payments.
Please contact me whenever I may be of help!