Mortgage rates are at 50-year lows, making buying a home more affordable than ever for families with a stable income and good credit.

Many eligible borrowers are not taking advantage of the opportunities because of misinformation about getting a mortgage today. It's important that you get the facts about buying a home in today market.

What You Will Need

In order to qualify in today's market you will need:

• A stable income
• A good credit history
• A downpayment Generally, between 5-20 percent of the purchase price for a conventional, conforming mortgage.
• Documentation Responsible lenders today will want documentation verifying your income (W-2 forms, tax returns, employment), credit history and assets (such as bank statements to verify your savings).
• An impartial third-party appraisal Your lender needs this to verify the value of the house you want to purchase.

You will interact with various professionals during the home buying process, all of whom are valuable resources and perform necessary roles.. 

First Steps to Take

Before you start shopping for your new home, you will want to:

• Find out your current credit history and score. You don't want to start out with any surprises.
• Start gathering all of your documentation as outlined above.
• Consult with your lender to review your income, expenses and financial goals to determine the type and amount of mortgage you qualify for.
• Talk to your lender about applying for a mortgage and getting a pre-approval letter. This letter provides an estimate of what you might be able to borrow provided your financial status doesn't change and demonstrates to home sellers that you are a serious buyer.

There may be a few new rules in today's market, but all the old ones still apply too. Do your research, reach out to the professionals, stick to your budget and be sure you are ready to take on the financial responsibilities of being a homeowner.

Why It's Time To Buy

A recent article provides more information for prospects on why now is a good time to buy a home. A few highlights:

• Mortgage rates fell to 4.55% at the beginning of June (near 50-year lows).
• The ratio of home prices to income is now 20.9% lower than the 15-year average through 2010, and 12.5% lower than the 1989-2004 average.
• It’s a buyer’s market.
• "Household formations" are on the rise and the excess in housing is “shrinking fast.”

 

For more information:

Nancy Hill

253.653.6323

www.BKCRealEstate.com

NancySHill@comcast.net

Quadrant Homes

 

All the windows, front door, roof, kitchen & bathrooms were all replaced or upgraded. The entrance received a laminate hardwood. 

 

This area of Renton is so convenient to the highways, downtown Renton, hospital, transportation and daily conveniences. The neighborhood consists of homes built in the 50 with a large number being ramblers. Cascade has wide streets for biking, walking, & jogging. There are parks nearby. Very close to Cascade Elementary too.

You might be surprised that you can get into this size of a home at this price.   The market is in your favor. Home is priced at $225,000 and it is truly ready for a move-in buyer. No work needed!

For more information contact:

Nancy Hill, CSM/Broker

253.653.6323

NancySHill@Comcast.net

www.BKCRealEstate.com