1 / 6

Prepare to Buy Your First Home

Prepare to Buy Your First Home. Placer Hills Real Estate. Learn About Mortgages. Fixed rate mortgage The same interest rate for the life of the loan Adjustable rate mortgage (ARMs) Very low introductory rate for 5-7 years Much higher rate after 5-7 years

evan-jimenez
Download Presentation

Prepare to Buy Your First Home

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Prepare to Buy Your First Home Placer Hills Real Estate

  2. Learn About Mortgages • Fixed rate mortgage • The same interest rate for the life of the loan • Adjustable rate mortgage (ARMs) • Very low introductory rate for 5-7 years • Much higher rate after 5-7 years • For short-term buyers or those planning to “flip” • Can be dangerous

  3. Mortgage Points • Fees paid to the lender • One point equals 1% of mortgage value • Required if buyer has less than 20% down payment • Can be used to buy down mortgage rate

  4. Fixed Mortgage Rate Averages Information based on Freddie Mac survey data http://www.freddiemac.com/pmms

  5. Sample Fixed Rate Payments $250,000 Lender Rates are influenced by credit scores. Plan for a 20% down payment to avoid cost of points. Add taxes and insurance premiums.

  6. Buying Is a Huge Decision

More Related