5 Common Mortgage Myths You Need to Avoid

1. 5 Common Mortgage Myths You Need to Avoid ●Through mortgage, you can buy a property. ●The payment of mortgages occurs on a monthly basis. ●The payment of a mortgage comprises principal, interest, taxes, and insurance. ●Fixed-rate and adjustable-rate are 2 types of mortgage. Mortgage myths to be avoided are: ●20% of the general value of down payment: The fact is that you can get a mortgage that does not require a down payment or a limited mortgage. The fact is that the less you pay down, the more dividend you will have to compensate.

2. ●If you are pre-qualified, you will be secured with the loan: During pre- qualification, the lender will check your credit reports and assets to check how much amount you can be authorized for. If a lender is not promising, he can still test your credits before your mortgage ends. The additional credit if attained before the mortgage ends it will be included in debts. Based on the increased amount, your pre-qualification can be disapproved. ●Rent your property for saving money: It is quite expensive to pay the mortgage instead of renting a home. By owning a home you will create equity and save money in the long run. ●Paying a mortgage at the earliest: Paying down the mortgage means low principal. Paying a mortgage means only a reduced overall loan amount. Instead of paying a monthly mortgage, invest this extra money. This interest can be higher than mortgage interest. ●Perfect credit score for best rates: The credit score of 760 or more will help you in getting excellent rates for loans. Less than 760 rate is also enough for competitive rates. Reach for Outline Financials to get the best mortgage investments.