Foreclosure in the US have reached an all time high. Last year over 2 million of these took place and this is why it is wise to save as much as possible on a mortgage loan. If you are in the market to buy a home, you don’t want to lose it to foreclosure. Property presents a valuable long term investment and in this article we’ll see how to keep that investment. I’ve found a nice article about geld lenen met bkr in Dutch.
No-one who buys a home for the first time has the cash to pay for it up-front. This would mean a very large cash investment, and who has access to substantial cash amounts? Mortgages are a long-term loan and generally run for between 15 to 30 years. It is for this reason that it is important to realize any savings you can.
A mortgage is a very long term commitment and so is saving money. If you intend to live in the same property for three years or longer, then it is a good plan to try and buy that property. Moving and selling a house has a whole load of expenses attached to it and you shouldn’t be doing this every few years. A piece of property needs to have appreciated at least 15% before any thought should be given to moving and this does not happen in a period as short as three years.
Work carefully on your finances before you even apply for a mortgage loan. Make sure that your finances are in good shape and get a credit report to check and dispute anything you believe should not be appearing on it. Pay as much of your credit card debt as you can, this costs you an arm and a leg in interest. Make sure you have paid all of your bills on time this will increase your credit score. The better your credit rating, the lower the interest on your mortgage will be.
Avoid taking out interest only loans and remember that sooner is not necessarily better. A 15 year mortgage is a short time to pay off a home loan, and the interest will definitely be higher as will the repayments. The easier your mortgage is to afford, the less chance you will have of losing your home to foreclosure if you encounter a crisis.
