Contrary to popular belief, now is actually a good time to buy a new home. There are many deals available all around the San Antonio area. Lower home prices mean smaller mortgages and lower monthly payments for you. So let’s take a few moments to talk about getting a mortgage loan.
Before you can go with the Realtor and look for a home you need to know what you can buy. You can have a look at one of those “how much home can I afford?” calculators to get an estimate of your buying power.
Just because you can buy a $200,000 home doesn’t mean you should. There are thousands of homes all over town with the right number of bedrooms and bathrooms in the mid-to low 100s.
The big mortgage lenders would love to lend you money for your purchase. But since they are so big, you may not get the personal service you need to close in time. A smaller lender can get you a competitive mortgage rate just as well as the big guys. You can also get more personal attention.
What about the fees and closing costs? This is why it pays to shop around. You want to compare several quotes from different lenders big and small to see whose fees are more competitive.
How long is the low rate good for? It also pays to look into locking in your low interest rate. This is called a rate lock period. There is a fee for this service but it can pay off in the long run if rates start increasing.
Here are some things to ask each lender:
1. How long will it take to close the loan?
2. What are your fees?
3. Is a rate lock available? For how much?
4. Can I buy points to lower the interest rate?
5. What is the interest rate?
These are just some of the things you want to keep in mind when you’re looking to get a mortgage.
Next, compare mortgage rates for a San Antonio home loan and see what it would cost to get into your own home. Learn about special first time home buyer programs you may qualify for. Talk to an experienced San Antonio mortgage lender to help you get a low rate on your new home.