If you’re thinking about talking to a home loans Rockingham specialist here at The Mortgage Gallery, or even at our Kwinana, Baldivis and Cockburn offices, we’d be happy to help you explore your options for getting a home loan. Getting approved prior to starting your home search is the best way to move forward, too, because with a pre-approval, you’ll know exactly how much of a mortgage you’ll qualify for and you’ll also be able to confidently put in an offer on a property without a finance clause. The finance clause could lose you a property you want in a competition situation if another competitive offer already has financial ducks in a row, so to speak. But before you begin to navigate the process of getting a home loan, here are things to ask yourself and to prepare yourself for:
What Am I Comfortable Paying?
Getting approved for a $400K mortgage doesn’t necessarily mean you, personally, are comfortable paying that much. Upon crunching your budget numbers, you may decide you’re more comfortable with paying a $300K mortgage; or you may decide that $1500 a month is really your ceiling.
Take a close look at your budget before deciding what price bracket you’ll buy in. You’ll also want to decide how you want to pay the mortgage based on your budget and lifestyle. Some people prefer a monthly payment, whereas others prefer biweekly or weekly. The type of payment you choose won’t just impact the days you pay your mortgage on, either; they’ll also impact how much you spend on interest over the course of your loan.
How Prepared Am I for the Responsibilities?
Paying a mortgage doesn’t just have to do with paying something equivalent to (or less than) rent. It’s also about taking into account having money for maintenance, repairs, and being able to live according to a lifestyle that does not feel like “house poor.” If you’re moving from an apartment to a house, for instance, you have to ask yourself how you feel about lawn care. If you’re not someone who wants to spend copious amounts of time on this (or not someone prepared to pay to have someone else do it), you’ll want to weigh whether or not a house or a condo is more appropriate for your lifestyle.
What do I Want in a Home?
Before applying for your home loan, you may want to also consider what you want in your home. Are you planning for a starter home or a family home that you’ll live in for many years? Have you considered the neighbourhood you plan to live in? Have you thought about the return on investment you might hope for down the line?
Talking to a knowledgeable Baldivis, Kwinana, Cockburn or Rockingham mortgage brokers, could help in many ways. Not only can you find out about qualifying for a mortgage but you can also get information that will help you overall with the entire planning process.