“I guess I was just too afraid I’d get rejected for a mortgage loan…” I’ve heard this comment from almost EVERY new homeowner I’ve found a lender and home for!!!! Time and again someone somewhere had convinced them that they’d never be able to afford a home of their own, and sadly they continued to throw their money away, paying rent month after month, year after year. The reality is, when you own a home, you invest YOUR money into your own house. Every year most houses in Janesville and Rock County appreciate in value, and that will literally make you more money when you sell it helping you move on to your next house!
Let me give a hypothetical example in the Janesville area:
Renter: Lives in a house (landlord purchased for $110,000) Renter pays $1100 per month, and at the end of 5 years will have paid $66,000.00 and have nothing to show for it. Home owner: Buys a home for $110,000 with only a 3% – 5% down payment (approx $5000 down) Pays potentially under $900 per month, and at the end of 5 years can sell the home for more than what they purchased it for and will have equity built up to use towards their next new home! The fact is, there are banks out there that want you to be their customers! They REALLY want you to be their customers!! A 30 year fixed loan with you means they get to see your smiling face for a long time, and that hopefully you’ll use them to buy your cars, remodel the kitchen, etc. There is a lot of misinformation out there, and the reality is within a phone call you can be on your way to becoming a preapproved house hunter!
In general, a mortgage lender is looking for a few things up front:
- That you’ve been employed at least 2 years 2. That you don’t have a ton of debt (i.e. buy your house first, then buy your toys-
motorcycle/boat/RV etc.) 3. That your credit score is reasonable. There are banks I work with that have worked with people with credit scores in the mid 500’s – AND who will work to help customers fix their credit and become eligible in less that 6 months to a year.
That’s about it. Simple eh? At Exit Realty HGM I work with lenders in the Janesville, Beloit, Milton areas and would love to discuss how simple it will be to get you started on owning your home.
Janesville WI Real Estate – John Nelson, Agent/Consultant – Exit Realty HGM, located in the center of Janesville Wisconsin. I specialize in both residential and commercial real estate in the Janesville, Milton, Edgerton, Beloit and Rock County areas. I especially enjoy working with and educating first time sellers and new buyers. Feel free to call or text me at 608-371-7721