Just because a lender has qualified you for a certain size mortgage doesn’t mean you have to spend that much on a house. I remind my partner agents all the time to caution their clients about unforeseen costs, such as repairs, decorating, improvements, future utilities and more. The goal is to enjoy your new home, not end up “house-poor”. Here are some things to consider before you write a contract on a house you love that is in the higher part of your price range:
Among expenses to factor into a home-buying decision:
-Utilities: Heat, electricity, water and sewer, telephone, cable television, Internet and cell phones. You also may have to pay a fee for trash collection and recycling.
-Condo/HOA fees
-Food/entertainment: Dining in and out, movies, hobbies.
-Children: Day care, tuition, lunch money, supplies, clothing, sports gear.
-Health costs: Braces, eyeglasses, medicine.
-Debt: Credit-card payments, car/student loans.
-Maintenance/repairs/decor: Furnishings and appliances, landscaping, snow removal.
-Job expenses: Transportation (gasoline or transit costs), auto maintenance.
For more information on applying for a loan to buy your next home, feel free to reach out to one of our preferred lenders:
Michael Farrell
Bank of America Home Loans
Vice President
Mid-Atlantic Division
Platinum Club
michael2.farrell@bankofamerica.com
Ph – 571-399-5363
Fax – 866-409-3138
