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Home Sweet Home
Why You Should Own
By Jennifer Schimmel Homesweethomeweb


You Said Yes! Found The Dress!  The Weddings All Set!  When You Get Back from The Honeymoon What is next?  Purchasing a Home???

Purchasing a Home is one of the “Best Investments” you can make for your family.  Right now, you can own a home for what you are paying in rent.  You have the ability to gain equity over time and if you buy right, you have the opportunity to profit on the sale of not just your home but your investment.  This will in turn give you the opportunity to put that profit towards your next homes’ down payment for a lower mortgage and payment.

Another benefit of owning is that you can deduct the cost of your mortgage loan interest from your federal income taxes. This will be a savings to you each year because the interest you pay will make up most of your monthly payment throughout the total years of your mortgage.  Another thing to keep in mind is that the property taxes you pay are also deductible as a homeowner.

Below are three things you should know when starting to look for the new family abode?

  1. Mortgage Lender – Selecting a local reputable mortgage lender is crucial to purchasing a home and is the most important step to the process.  Remember that costs and payment are going to be calculated on the purchase price of the home and the type of mortgage and interest rate.  There are many different loan programs now that make it more affordable to purchase a home and your realtor will be able to explain all of your options and can connect you with the most experienced and informative mortgage lenders in the business.


2. The down payment – The consideration that is made by the borrower towards the purchase of the home in order to qualify for a mortgage.  The minimum down payment can vary loan by loan.  Usually 20% down of the total loan balance is required in order to qualify for a loan without having to pay private mortgage insurance which in turn will result in a lower monthly payment.  There are other options outside of putting 20% down.  Your other options could be FHA 3.5% down, 5% down conventional, 10% down and more!

3. Closing Costs – These are paid at settlement and are the costs involved with processing the loan and can be anywhere around 3% to 4% of the purchase price.  This figure, along with an approximate monthly payment, will be presented to you before you even make an offer on a home. Being properly educated throughout the process will help you make informed decisions based on your monthly budget.


Once you are Pre Approved and have an idea of what you are comfortable with in a monthly payment you are ready to say “YES” towards the next step of owning your new “HOME SWEET HOME!”