Some interesting tips regarding mortgage down payments have come from one of the most famous places in New Mexico.
According to the Taos News, the median down payment for first-time home buyers has been six percent for three straight years. And in the National Association of Realtors’ (NAR) “aspiring home buyer profile,” 87 percent of non-homeowners indicated that a mortgage down payment of 10 percent or more is necessary.
This profile also finds that eight out of 10 non-owners indicated that owning a home is part of their “American dream,” yet confusion about down payment requirements is creating an issue and keeping those who would want to buy a home from getting into the market.
“Being unable to afford to buy was the No. 1 reason non-owners cite as to why they don’t own. Unrealistic expectations about down payments have kept creditworthy borrowers with manageable levels of debt from exploring the prospects of buying a home,” said the Taos County Association of Realtors (TCAR) in a statement.
“Those interested in buying their first home in 2017 should gather their financial paperwork, sit down with a lender to discuss their qualifications, and talk to family and friends for recommendations about a Realtor who can help them get started on their home search.”
TCAR provided the following tips for renters who feel like they are ready to join those who buy a home with less than 20 percent down:
- Review your financial situation and personal savings to determine how much you can comfortably utilize for a down payment.
- Visit a few lenders and seek a mortgage pre-approval to determine how much money you are actually qualified to borrow.
- Find a Realtor and discuss your budget and needs.
- Rely on professional help from the experts.
For more on NAR housing stats, click here. ##
(Image credits are as shown above.)
Submitted by RC Williams to the Daily Business News for MHProNews.
