How to sucessfully navigate the housing market in Collin, Dallas and Denton Counties.

For all but the most fabulously wealthy of us, house shopping will probably be one of the most expensive purchases you will make in your whole life – which can make you feel both excited and daunted by the prospect.
Before you start trailing through websites and driving around your neighborhoods of choice, you should sit down and take a good long look at your financial situation. There is nothing more depressing than finding your dream home, but knowing you can’t afford it. So set a budget along side your partner if you have one and then stick to it. This will stop you from impulse buying and overspending, both of which you will probably regret later on.
The three most fundamental questions you want to answer before you purchase a house are:
1. How much can you really afford to spend on a new house? 2. Do you have money to pay in cash? 3. If you need to take out a mortgage, how much can you pay monthly?
The first question will force you to face reality early. A lot of people are attracted to houses that they simply cannot afford and it takes hard work and discipline not to be one of them! There are people who can help you with this budgeting process, an option you might want to consider is talking to the housing counseling agency. Their counselors can give you advice on all aspects of purchasing a home from credit issues through to fair housing and foreclosure prevention.
Once you’ve done your homework and set a clear budget, you need to think about how to finance you house purchase. Homebuyers tend to automatically try for a housing loan without considering a cash payment option. There are varied reasons for this for example, those have a cash sum to spend but choose to place it in a longer term investment which will grow and help pay off the mortgage later. However, do consider investing this excess cash directly towards your house purchase and getting a head start on paying off your dream home. This really depends on whether you prefer to be relieved of the pain of paying mortgage to accumulating money through investment. If paying for the house in cash is not an option for you because you just don’t have it, you might want to rethink if you really can afford the house. Get the healthy advice of a licensed mortgage broker to help you figure out what you can really afford.
If you decide to take on a monthly mortgage payment, then consider the following: how much you can give in down payment, what your current monthly expenses are and any debts you have. If you will be paying about 20% as down payment, you might want to get mortgage insurance since the extra cost could balance out in the peace of mind you will be given. Include those sneaky debts such as car loans and dreaded student loan payments into your financial concerns and remember all the ‘forgotten’ costs of a property such as property taxes, association dues, telephone, cable or internet and general house maintenance.
Now that you’ve got a plan in place, it’s time to go hunting for your dream house. Contact David Raisey, a Realtor and resident of Frisco at 469-688-6675 or visit his website at www.Raiseyrealestate.com to begin your home search.