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!
Liz Reese of ReeseSquared Mortgage deserves more than the five stars available. Her knowledge and ability to communicate complicated steps of the process made the entire experience easier. She was always available for questions and advice. She is kind and a positive presence. I felt Liz always had our best interest foremost in mind when giving advice. I recommend her services highly.- Sandra Carroll
What a wonderful experience. Liz and her fabulous team helped my dream become reality with owning a home in Northern California. They were knowledgeable, responsive, professional, and helpful. I highly recommend them.- Uloma Owunta
Liz is an absolute pleasure to work with. She is very knowledgeable, transparent, and honest in all of her interactions. She will go the extra mile to get you all of your concerns answered and make sure that you are aware of all of your options through the entire process. I highly recommend Liz and trust that she has your best interest. A++- Andrei Ionescu
Thank you for making a cash out loan so painless. Liz & her team are on top of things from the beginning to the end and they get the job done as quickly as possible. Thanks again for a job well done!!- Linda L
Liz was great and very communicative. We worked together on a home purchase for my buyer, Liz got an appraisal done asap and the loan was ready to fund after only a couple weeks, our buyer signed the CD almost 2 weeks ahead of closing! Liz did an amazingly fast job!- Elena Olzmann
Liz Reese just helped me get financing for a condo purchase and she was great! I am self employed and I worried that getting a loan would be hard but Liz knew exactly what to do to make it happen and got me a great loan very quickly and efficiently. She was extremely responsive, answering all of my calls/texts/emails promptly and thoroughly. She also has a streamlined process with a portal for uploading docs etc which made it easy. Another bonus—at times she would send a quick video (via text) explaining something such as a step that needed to be completed which made it super easy and clear. Liz was all around knowledgeable, helpful and professional and I highly recommend her!- Zoe Cohen
We have always had the best experience with ReeseSquared Mortgage! Liz and her team are super knowledgeable, responsive, and everything has been seamless!- Sharon Howard
We did a refi with Liz and her team. The entire process was very quick and easy and everyone we dealt with was awesome! I would highly suggest going with Liz for your mortgage needs.- Dave & Lisa Poff
I was already working with an online lender on my refi, and a family member suggested reaching out to Liz for competitive rates. So, I contacted Liz, and sure enough, her rates were not comparable, but better. So, I switched to Liz and got my refi completed swiftly. Liz is a pleasure to work with; she's very professional, knowledgeable, fair, and honest! I highly recommend working with Liz on any mortgage-related financing needs!- Christopher Rogers
Liz is absolutely amazing to work with! I have refinanced two homes and purchased a third with Liz and her team. They all know their stuff! They are super friendly and so easy to work with. I will continue to reach out to Liz and her team for all my mortgage needs. I definitely recommend the entire ReeseSquared Mortgage team.- Amber Lytle
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!