How to Buy a Home You Can Afford

Chances are, the biggest purchase you will make in your lifetime is buying a home. Therefore, you should not take this process lightly. Here are a few tips that will help you look for new homes for sale Lodi CA that you can actually afford.

Check Your Credit Score

Before you start the house hunting process, you should check your credit score. If you have a good credit score, you will have an easier time getting an excellent interest rate on your mortgage. This can mean the difference between high monthly payments versus affordable monthly payments. If your credit score isn’t so great, you should make an effort to improve your credit score before purchasing a home.

Down Payment

To limit the amount of interest you pay on your home, you should pay the down payment for your home. Ideally, you should pay 20% of the value of the house upfront so that you can avoid paying for private mortgage insurance. The cost of PMI can be as much as 1.5% of the cost of the mortgage.

As you can see, there are quite a few things you can do to ensure you buy a home you can afford. For affordable new homes for sale in Lodi CA click or call FCB Homes

(209) 957-8112