Video: Looking to Save When You Buy a Home? It’s Easier Than You Think!
What’s the first thing you think about when shopping for a home? Is it getting the best deal? Finding the lowest mortgage interest rate? Decreasing your closing costs? Consider this scenario:
- You make an offer on a home that is $10,000 below the listing price, the sellers are tired of showings or they’re in a hurry to move on or they just liked you, and your offer is accepted. You’ve saved $10,000.
- You persistently shop for the best interest rate and find a lender that is a full quarter of a point lower. On a $200,000 mortgage you’ve saved yourself about $33 a month, or a little over $11,000 over 30-years.
- Your Realtor offers help with your Closing Costs. (see our discount programs here). Let’s estimate your savings on closing costs at around $2,000.
Though not insignificant, this example above amounts to just a drop in the bucket compared to what you could be saving by paying off your mortgage in a shorter amount of time. In most cases it’s not against the rules and probably a lot easier than you think!
For your convenience we’ve provided a transcript directly below this video.
Welcome to Today’s Home Update, I’m Ingrid.
Whether you’re looking ahead to retirement or just looking to reduce debt, paying down your mortgage faster makes for a rosier financial future. Here are some relatively painless ways to do so.
First, instead of making a monthly mortgage payment, try switching to accelerated bi-weekly payments. Not only will this shave years of the term of the mortgage, it will save you thousands of dollars in interest.
Next, try rounding up each payment to pay at least a little more each time. For example, if your payment is $865.00, round up to $900.00 instead.
Also, commit to putting any unexpected money from a bonus at work to a winning lottery ticket, toward your mortgage. Doing so will allow you to chip away at your mortgage without feeling the effects in your wallet.
Finally, consider making one extra mortgage payment each year. Most lenders will allow you to do so and will apply it directly to your loan principal.
Thanks for watching Today’s Home Update, see you next time.
For more information, Call or Text: 602-999-0952
eMail: golfarizona@cox.net
Bill Salvatore / Arizona Elite Properties
Residential Sales, Marketing, and Property Management
There are still down payment assistance programs available in Maricopa and Pinal Counties. These are grants, NO repayment necessary. Call us for details: 602-999-0952
We also have options to help with your closing costs. See the links below or feel free to call or email for additional information: 602-999-0952 / golfarizona@cox.net
Learn more about the Arizona Heroes Home Advantage cash-back program. NO cost, NO pre-registration, NO obligation.
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