The housing market is finally flourishing again. Not yet in all regions but in the big cities it is becoming increasingly difficult to buy a house. That is why we thought it would be time to draw your attention to a number of things that you should know. After all, buying your own home is one of the biggest investments you can make in your life. Make a visit to https://www.winstonsalemhomes4sale.com/ to have the best results now.
How much can I borrow?
This depends on several factors. We will briefly explain these factors in this article. A number of things are important to know:
- Are you employed or do you work as an independent entrepreneur?
- If you work as an employee, do you have a permanent job or a temporary employment contract?
- Do you have a partner or do you live alone?
These three points determine the amount that you can ultimately borrow. After all, they influence the chances and risks of your living situation and therefore determine the amount of your maximum mortgage amount.
What will my monthly payments be?
The monthly payments, or the amount that you are going to pay per month, are based on the amount of the mortgage. This also depends on a number of things:
- What is the term of your mortgage ten, twenty or thirty years?
- Type of mortgage for example annuities or interest-only
The current mortgage interest: This is, incidentally, historically low at the time of writing and that is favorable.
Mortgage type and Mortgage interest deduction
Let’s come back to point two from the list. There are many types of mortgages that may make you lose the overview. Let us briefly consider this. Thanks to the spring agreement of 2012 in which the reduction of the mortgage interest deduction was announced, you only have to focus on the annuity mortgage. This is the most important type of mortgage that qualifies for tax benefits.
Good to know because that gives peace of mind in creating an overview. Now you need to ensure proper preparation. So you know where you want to live and you have figured out that you can pay for it. Well, back to the preparation. Because we need the following from you:
- Copy of passport or identity card of a maximum of two years old.
- A recent payslip of a maximum of two months old.
- An employer statement that is also two months old.
The above applies if you are employed. A self-employed person or self-employed person must provide a number of annual accounts. In addition, we would like to see an extract from the Chamber of Commerce and the tax returns for the last three years. The situation of an entrepreneur is also interesting. There is no standard that this must meet and also no standard with regard to the financial possibilities. It’s not the most fun but it simply saves a lot of time.
Just a tip
But how can you proceed in finding your dream home? Try the search according to the Group philosophy.
- Select ten houses on real estate app
- Plan an afternoon off and view these ten houses on the outside
- This way you get a good impression of the neighborhood. In addition, a house on the photo often looks nicer than in real life.
- Now choose three houses that you want to view.
We estimate that this structured way of working provides overview, tranquility and result orientation.