The most common concern I hear from potential First Time Homebuyers is the amount needed for a down payment. The notion of needing a 20% down payment is no longer true. There are many loan programs available that allow you to put down as little as 0%, 3.5%, or 5% with affordable monthly payments. Also, a portion of your monthly payment is tax deductible.
Let’s use an example sales price of a $385,000 home with a 10% down payment. This gives you a monthly payment, including Taxes and Insurance, of $1,900. Taxes and Interest are deductible from your income, which comes to $5,200 refunded each year. Or, $430 a month. Applying this refund, your $1,900 a month mortgage payment is equivalent to a $1,470 a month rental. Not to mention the appreciative value of owning a home. With rent increasing every year, buying a home makes more sense.
If you have specific questions or would like general financing information, send me an email (firstname.lastname@example.org) or give me a call (301-704-2333)!