ONE Sotheby's Int'l Realty
Hector Zapata PA, ONE Sotheby's Int'l RealtyPhone: (754) 244-2687
Email: [email protected]

How Much Money Do You Need to Buy a Home?

by Hector Zapata PA 03/04/2019

The amount of money you will need to ensure you can purchase a house varies based on a number of factors. For example, if you want to purchase a house in a big city, you may need to save more money than you likely would require to buy a residence in a small town. Meanwhile, your decision to choose a fixed-rate mortgage over an adjustable-rate mortgage – or vice-versa – can impact your monthly housing costs. And let's not forget about the costs of home utilities like electricity and water, either.

Ultimately, it helps to put together a homebuying budget before you embark on a house search. Because if you know how much money you have at your disposal, you can map out your house search accordingly. And as a result, you can minimize the risk of spending too much to acquire your dream residence.

Let's now take a look at three tips to help you craft an effective homebuying budget.

1. Evaluate Your Current Expenses

An in-depth assessment of your current monthly expenses is key. If you conduct an expense evaluation, you can find out how much you spend on various must-haves and wants. You then can take steps to reduce your monthly expenses and increase your savings for a new home.

It also never hurts to consult with a financial planner. If you have a financial planner at your side, you can gain expert insights to help you evaluate your current expenses. Plus, you can work with a financial planner to determine the best course of action so you can eventually buy your dream residence.

2. Get Pre-Approved for a Mortgage

Meet with a variety of banks and credit unions and explore your mortgage options – you will be happy you did. If you assess your mortgage options closely, you can find one that complements your finances. And once you get pre-approved for a mortgage, you will know how much you can spend on a house.

Generally, it is beneficial to meet with as many banks and credit unions as you can. If you consult with myriad lenders, you can receive extensive insights into many mortgage options. Best of all, you will be better equipped than ever before to find the lowest-possible interest rate on a mortgage.

3. Consider Your Down Payment Options

The down payment required for a home purchase varies, but it commonly ranges between 5 percent and 20 percent of a house's total price. If you account for a down payment as you craft a homebuying budget, you can use this total to plan ahead for the property buying journey.

Lastly, you may want to collaborate with a real estate agent as you prepare to launch a home search. In addition to helping you find your dream residence, a real estate agent can put you in touch with potential lenders and offer plenty of guidance throughout the property buying journey.

Ready to pursue a home? Use the aforementioned tips, and you create a successful homebuying budget.

About the Author

Author
Hector Zapata PA

 

Hector was born in Colombia, and has called South Florida home for more than 18 years. He is an Industrial Engineer by trade specialized in Cost Control, Production Planning, and Plant Design. Prior to moving to South Florida, Hector worked for 13 years as a Plant and General Manager in the Graphics and Publishing Industries in Bogota, Colombia. When Hector moved to the United States in 2001, he decided to become a PGA Golf Pro, and created his own business in the Golf Industry as a competitive player, and teaching pro. He was the founder and director of Bonaventure Golf Academy, and today he runs his own golf academy in Cooper City, Florida. In his nearly 15 years of experience as a Golf professional and Instructor in South Florida, he has been asked by many customers looking to purchase a home on a golf course his opinion about the best Golf Communities in South Florida. He became a realtor in order to better serve his customers, and help them as well as all golf enthusiasts find the home of their dreams. Hector is highly recognized for his personalized service, ethics and professionalism in the Golf industry, and his goal is to provide extraordinary service to his Real Estate customers and friends too! Hector is specializing in Golf communities and Luxury properties in South Florida.

Why Choose Me As Your Agent? When you work with me, you will receive a knowledgeable and professional real estate agent, a committed ally to negotiate on your behalf, the systems in place to streamline buying your home and the backing of a trusted company. Why Work With A ONE Sotheby's Agent? Looking to sell your home? As a real estate associate of ONE Sotheby's International Realty, you will now have access to over 22,000 associates and presence in more than 70 countries across the world to help you sell your property. With our technology, we are leading the way in how homes are sold and purchased through online marketing. Through our ONE Site, your listing will display on top name sites like Zillow, Trulia and Realtor.com to get you the most brand exposure to your home. Looking to purchase a home? With our ONE Sotheby's Technology and advanced websites, searching for properties that are active on the mls is a breeze. Now you can search 24/7, save properties to your profile to view later and schedule showings with me so you can see these properties in person. My job is to make the real estate buying process that much simpler and as a real estate associate of ONE Sotheby's International Realty, we are doing just that. Our company prides ourselves in staying on the cutting edge of technology and if you select me as your real estate agent, you will receive all of this and more. You could never find a more dedicated, energetic, or focused agent to represent you. Please give me a call for a no-obligation assessment of your real estate needs!