Locking in favorable terms with a fixed-rate mortgage. As of this writing, interest rates are at their historical rock-bottom. Receiving a fixed-rate mortgage lets you potentially lock in the most affordable terms we’ve seen.
The Money-Saving Secrets of the Home Purchase
If you’re tired of throwing rent toward the landlord, you can keep some of that money by putting it toward the principle of your very own home mortgage. Why bother? Here are some of the money-saving secrets that homeowners can enjoy:
Get pre-approved for a mortgage to do your research first. Ready to shop around? There’s no pressure. Get pre-approved for a mortgage and find out how much home you can afford—these are essential next steps that convince a home seller that you mean business.
Buy the home you can afford. When you know your total monthly liabilities, your income, and your credit rating, you can easily calculate just how much home you can afford. This will help ensure that you buy a house that remains a long-term blessing and not a strain on your budget.
The Stats: What You Need to Know Before You Buy a Home
Homeownership is common In fact, statistics from 2019 show that the homeownership rate was a staggeringly high 64.8%, which means the majority of people have gotten out of the rent cycle and into their own home.
You don’t need experience. First-time home buyers constitute one-third of all home buyers, which means that you don’t have to feel intimidating by the home buying process, even if it’s your first time. It’s far more common to be going through this process for the first time than you might imagine.
The average length of time is low. Have house fever? You’d be surprised how quickly things can move. The average length of time between someone visiting a potential home for purchase and the closing date was only 73 days, or two and a half months.
Are you interested in finding out if a home purchase makes sense for you? Are you ready to join the ranks of homeowners and lock in potentially low rates?
2 Ways to Use Your FHA 203(k) Loan
Buy a Fixer-Upper (and Fix It Up)
Or... Renovate Your Current Home!
Buying a home is the most stressful time, but it can be made a whole lot easier when you are working with great people who take the time to give good service. Justin and Christina were incredible throughout our whole process. They answered every little question we had in a timely fashion and regularly checked up on us to make sure we weren't overwhelmed. My husband and I were constant impressed with the level of customer service and care that we received. I truly recommend this team for anyone in need of a home loan.- Emily Shefer
Justin and Christina are incredibly helpful. As a first time buyer, they made the process as smooth and clear as possible. Christina is extremely attention to detail and responds so quickly which makes everything a lot easier. They were able to close my loan in a very short amount of time compared to what other banks were asking and I am looking forward to using them again for my next purchase! Thank you both for all of your help and patience!- Mel P.
We cannot speak highly enough about Justin and Christina. There professionalism and excellent customer service is exceptional. We bought our second home and they made the process easy and quick. I always heard that the process would be stressful. Well, I have to say that Justin and Christina made it really easy for us. They were practical, straight to the point and effective. We were clear to close short after submitting our application. We got a loan on the best terms we could. I absolutely loved that everything was online and through email!!! We even had a meeting via Zoom! Definitely the best!Thank you!!!- Bianca Acatitlan
Team JB was great!! Christina was our main point of contact but Justin was definitely overseeing it all. Highly recommended! He's very informative and has the experience. thanks for helping us with our home, we will never forget it! hopefully buy another home soon- Brian Chan
Justin and his team were AMAZING and, most importantly, very professional. We were amazed by how fast they were able to get all our documents in order and processed. One of my favorite aspects of Justin and his team was how readily available they were to help answer any questions we had at any time during the process. Justin made us feel comfortable and supported throughout the entire process. We would recommend him without a doubt! Thank you, Justin and the team!- Inez Alvarez
Justin and Christina were wonderful to work with! They helped my wife and I through the refinancing of our home. I have a unique situations but that did not bother them. They communicated what needed to be done on our part and they took care of the rest. All went well and we are so thankful for them both.- Tom Straeter
We just finished at refinance with Justin, Uri and Christina. They were very friendly and professional. Justin even called us from his cell phone to initiate the process. Uri got us started with the initial paperwork and to lock in our interest rate. Then Christina did all the rest of the paperwork and was very prompt. She persevered when certain documents were not being sent. She was very easy to work with and got our escrow to close on time. Would definitely recommend them, especially if you get the chance to work with Justin, Uri and Christina!- Michelle Butlig
For a first time home buyer, one of the most important, but often overlooked, aspects is a lender you can depend on to explain things to you and guide you through the daunting process of purchasing a home. Justin and Christina were exactly that. Because this is potentially the biggest purchase my wife and I will ever make, we had so many questions and worries going into and through the process. Justin and Christina not only provided answers, they eased our minds. Again, this quality is invaluable in a lender. Their accessiblity is also another huge plus. No matter the time, they were always an email, call, or text away.- Kris Divinagracia
Justin and his team were awesome. They were able to get the refinance done and worked out the best deal possible for us. I will continue to use him in the future.- Jamie Ellis
We purchased our new home few weeks ago, Justin and his team did amazing job. The whole process Christina and Uri were amazing. They helping us every moment!. Great team 👍 we are happy to work with New American Funding.- Patty Torres
Your Renovation Wish List Could Include...
Increase window size
Bring in more natural light
Finish a basement or attic
Create a mother-in-law apartment or guest space
Correct foundational issues
Protect your investment for the long-term
Add a detached garage when one does not exist
There’s room for everyone
Knock down walls
Open up the floor plan to create versatile, welcoming spaces
Flood-proof your property
Add a retaining wall to prevent expensive damage
Repair the pool
Tired of leaks and cracks? Fix the pool & start enjoying it
Expand or refresh the kitchen
Cooking is just more fun in an updated kitchen
Add square footage
Growing your family? Grow your home alongside it!
After remodeling, 74% of owners have a greater desire to be in their home, and 65% have increased enjoyment in their home.
How Does a Renovation Loan Work?
Depending on the types of repairs you plan to do, you have two options when it comes to securing a FHA 203(k) Renovation Loan: Limited and Standard.
The Limited 203(k) loan
The Limited 203(k) loan is for non-structural or “cosmetic” repairs. It covers up to $35,000 in renovation costs. With a Limited loan, you can do nearly anything that doesn’t affect the home’s structure! Think kitchen and bathroom remodels, carpet and flooring replacement, painting, appliance replacement, and much more.
The Standard 203(k) loan
The Standard 203(k) loan is a loan for projects with repair costs over $35,000. It can be used for structural or non-structural repairs. With a Standard Loan, you have even more flexibility. You can expand the home’s footprint, improve accessibility for differently abled people, and even move the home to a different site.
What You Need To Know About A Home Purchase
Why should I buy a home rather than rent?
Everyone’s situation is different. However, in the era of low interest rates, a new home purchase can make financial sense for a lot of people. Locking in these low interest rates can mean paying less for more square feet in some cases. That said, every person’s situation is different, and your motivations for buying a home (including the need for more space or privacy) may differ from other people.
How do I start the home buying process?
One of the best ways to show that you’re serious about buying a home is to get pre-approved for a mortgage. This will give you some leeway when it comes to making offers when you view homes. And in some cases, it’s viewed as a necessity when you go out shopping for homes. In many cases, the process is as simple as finding out what you can afford given your current income, levels of debt, and financial obligations. The good news: it’s a lot simpler than you think!
What kinds of financial commitments do I have to make?
There are a lot of options for financing when you make a home purchase, so don’t feel that you have to commit to any particular one at this point. You’ll find that it’s possible to make a 20% downpayment, for example, but there may be types of financing available that require far less—as low as 3%, depending on your situation.
Why is now a good time to buy a home?
Although every situation is different, low interest rates tend to mean generous financing terms for people taking on a home mortgage. Having a mortgage with low fixed interest rates, for example, can be a powerful hedge against inflation in periods of higher inflation—where in the interest rates are typically higher. But we should reiterate that every situation is different, and you should do what’s best for your situation and your own family.
What is the next step?
Click through our buttons above to find out whether you qualify for great terms on a new home purchase!