Are you ready to own a new home or condo in MN?

Home ownership means you no longer pay monthly rent to a landlord for the roof over your head. By paying a mortgage – this means you own that roof over your head.  You can do what you want with your house – within reason of course and when you leave, you can sell it to recoup the purchase price and – with any luck – earn a profit too.
Home ownership comes with a slew of responsibilities and work so before going any further, consider whether your lifestyle and finances make home buying a smart move.

Are you prepared to stay put?  High costs mean you should. Except in a roaring real estate market, it usually doesn’t make sense to buy a home you’ll own for less than three or four years. The reason is the high transaction cost of buying and selling property means you could lose money on the deal. If you do make money, you’ll pay capital gains taxes if you’re in the house less than two years.
 
Right now – it is a buyers market.  There are homes available at very reasonable prices due to the recovery of falling home prices.  Combine this with below average interest rates and tax credits – the money and the sense of it all – home ownership is a great idea.
 
Before you begin, you need to determine how much house you can afford. You can start with one of the Web’s many calculators for a brief calculation.  But for a more accurate figure, ask to be pre-approved by a lender, who will look at your income, debt and credit to determine the kind of loan that’s in your league.
The rule of thumb here is to aim for a home that costs about two-and-a-half times your gross annual salary. If you have significant credit card debt or other financial obligations like alimony or even an expensive hobby, then you may need to set your sights lower.

So do you think you are ready?  If yes, take the first step and give me a call at 651.210.9593 right now!