Purchasing your home offers financial advantages.
- Home equity. Buying a home means that, over time, you may qualify for a home equity loan. Home equity come in two forms, either in a fixed-term loan or in lines of credit. Learn more about how owning a home can present an alternative to personal loans with home equity.
- Tax deductions. When you purchase a home and pay interest on the mortgage, that interest is tax-deductible. Real estate taxes are deductible as well.
- Ownership. When you buy...
How much can you afford?
The first step is assessing your financial situation. The financial experts at Horizon Bank can help you do this, but here are some general guidelines:
- All of your monthly housing costs should be roughly 28 percent of your gross income, or the amount you earn before taxes. This includes your mortgage payment, homeowner’s insurance, property taxes and related costs.
- Examine your monthly expenses as compared to your income to establish a budget and determine what you can afford. Remember that utilities and maintenance costs may increase with a home as compared with an apartment, so it’s important that you have extra funds left over...
Building a home is a great undertaking, and the joy of living in your dream house is worth the work involved. To begin to prepare financially you must understand the cost to build a house. Here are five strategies for determining the cost to build a house:
1. Research the cost to build a house
Talking with both a custom homebuilder and production builder can give you a better idea of the total cost to build a house. Generally, custom homebuilders tend to offer more options and features, and this comes with a bigger price tag. Both builders may offer abnormal home shapes, but unique homes require more materials and labor, and are therefore more expensive to build.
You submitted your mortgage application and received a Good Faith Estimate (GFE) listing the charges, or closing costs, that you will incur at settlement. As a first time homebuyer, you may have some questions about the fees you have to pay – where did these charges come from, and what is included in closing costs?
Closing Costs include fees from your lender and third party service providers and are usually 3 to 5 percent of the price of your home. To help you better understand what you’ll pay, we’ve outlined the main fees associated with closing costs:
Ahh moving...the very word makes me cringe. I am one of those who likes to hold on to just about everything I own, "in case I need it someday." So when it comes time for me to move, I shudder at the thought of packing, lifting, shoving, pulling, pushing, cramming, and relocating all of my "oh so necessary" things. However, as monumental as moving is for me, it has taught me some very important lessons.
1. Holding on to boxes is not crazy.
I am notorious for keeping boxes that things like my crock pot, my TV, and my toaster came in. Most people throw them out and rightly so, they do take up...