Your parents did it, your friends do it, and probably your boss too. It’s called having a mortgage! Because it is such a large financial transaction, most people need to have a mortgage payment to afford the purchase. So yes, it happens to many of us.
Even though searching for a home and negotiating the offer is certainly exhilarating, eventually reality will set in – the reality of paying for that purchase. And if the reality of mortgage payments makes you twitch nervously, you’re in good company – it is a huge responsibility. But if your parents did it, and your boss does, then you can certainly do it too! If you need to rearrange your mindset to get in the right groove, here are some ways to ease the anxious anticipation of those monthly payments:
Give it a whirl: Do you know the best way to find out if you can afford the regular payments associated with a mortgage? Try it! After getting pre-approved, look online for a home that you would, in theory, want to buy. Use any available online calculator to approximate your monthly mortgage payment. And don’t forget about your property tax! That yearly amount should be available in the house listing, so divide it by 12. And those two numbers together and that is how much you will need to pay every month. Figure out how much more this amount is than your current payment, and put that extra aside. Try this for at least four months and see how it feels. If it feels great, then you can set aside your worries – plus have a tidy bit of cash too!
Be realistic: It sure is tempting – looking at homes that are at the upper limit of how much you are allowed to borrow. And why not – the pricier the home, the better the location, the larger the layout, the more luxurious the features. But hold on there! More is not always better, especially when you’re talking about debt. You may try to get everything you want in the house. However, you need to be realistic. By buying the most expensive house you can, you remove any bit of financial buffer that could help with unexpected costs. Be realistic with what you can afford so that your mortgage payments don’t become a nightmare waiting to happen.
Steady as she goes: Even if your offer for a home is accepted, you may feel like celebrating – but hold off. Making any change to your finances at this point could be disastrous when clearing the last hurdles for your mortgage. Any who needs any more stress at this point? Just keep on the same course, do not change your job, don’t buy anything big, and don’t move. Be as financially boring as you can so that you don’t have any last minute mortgage surprises. This way, you will have a good idea what your mortgage payment will be, and can plan accordingly.
Work with a reputable and knowledgeable mortgage lender: Anyone can sell you a mortgage, but how do you know if you are getting the best advice and service? If you come in to see a mortgage lender like Shamrock Financial, you can sleep well. With seasoned, energetic, and knowledgeable staff, they can review your finances and suggest the best mortgage products, terms, and advice to make sure that you can easily afford your mortgage payment. And because they have seen it all, you will get the benefit of their extensive experience, tailored to your unique situation and perspective. Even more, they can recommend other professionals to make sure that your time spent is time well spent.
The process of buying a home is stressful enough, but thinking about every mortgage payment can seem even more taxing. But if you follow some simple steps, including talking with the professionals at Shamrock Financial, you can discover that making each mortgage payment can be as routine as drinking your morning coffee. See how easy it can be, and send that stress far, far away.