Looking for your first house? One of the most important questions will be how much can you afford? That depends on several factors, including your present income, credit and future prospects as well as money available for down payment. Buying a house represents a substantial investment. The equity will increase in value hopefully, each year, and in all likelihood so will the value of the house.
The higher the down payment, the more you will save on interest costs and the lower your monthly mortgage payments. A larger down payment has another advantage. The more you have invested in your house, the better your credit standing will be and the greater the equity. When selling your home the more you’ve paid down your mortgage the more you will potentially receive in your pocket at closing.
It’s best to have a good idea of how much you can afford when you’re looking for a house. Why not call us for an appt so we can discuss what we have to offer.