When you need a Mortgage Broker to Purchase a home in Catonsville or any town in Maryland, "I know a guy". Buying a new home like riding a roller coaster. Your reasoning and emotions will go up and down. The more you know about the home buying and mortgage financing process, the smoother and less scary your ride will be. Throughout my site you will see information that will help you with this process. If you learn better by hearing the information rather than reading it, just pick up the phone and call me.
When you are buying your first home, you need to decide whether buying makes more sense than renting. There are advantages and disadvantages to renting as well as buying. Many people think renting is cheaper than a purchase. Consider both and weigh the pros and cons for your particular situation. At first glance, renting may appear cheaper. However, there is a big advantage to owning your own home. When you first buy a home it is like you and the Lender are partners. Your initial share was your down payment and the Lenders share is the mortgage note they hold. Each month your share increases at the rate of the principal part of your monthly payment and subsequently the lender’s share is reduced by that amount. Eventually the home is paid off and completely yours. Also, in the meantime, you receive 100% of any property value increase. There is also the bonus of being able to deduct the interest and property taxes you pay from your income taxes due.
How much “house” can I afford?
Step One - Calculate how much you can afford to pay each month. This will save you time and aggravation by focusing on the homes in your price range. Basically, a good starting point for how much you can afford per month will depend on a few calculations. The first is your Gross Monthly Income. Next is your total Monthy Expenses: these are the payments on credit cards, auto loans, personal loans, student loan, child support. etc. Next, calculate your debt to income ratio (DTI), Your DTI = Total expenses divided by your Gross Monthly Income. A good starting point is <43%. This will. Give you the maximum monthly mortgage payment.
The maximum monthly mortgage payment will be the Principal & Interest payment plus your monthly property taxes, plus Home Owner’s Insurance, also If applicable: Mortgage Insurance, Flood Insurance, Utilities Maintenance, HOA Fee & Garbage Collection.
If this process seem a bit onerous, just contact me, This is what I do .
Some up front costs include:
Down payment: This can range from 0 to 20% of the cost of the house. It depends on the type of motrtgage program that you can qualify. The more you can put down, the greater your share (called equity) you will have in your home and the lower your monthly payment will be. For down payments less than 20% you may also be required to pay mortgage insurance.
Closing Costs: Usually range from 2-6% of the loan amount depending on your geographical area.
On-going Costs: Your housing costs can include the following:
The total Monthly mortgage payment
- Principal & Interest Payment
- Property taxes
- Homeowners insurance
- Flood Insurance - If applicable
- Mortgage Insurance - If applicable
- Utilities Maintenance - If applicable
- HOA Fee - If applicable
- Garbage Collection - If applicable
How much do I Qualify for?
The absolute best advise I can give you is to get Pre-Qualified and then Pre-Approved before you go looking for a home or proceeding with a refinance. The difference is: the Pre-Qualification is just unverified conversation. It is a decision based on what you tell the lender about your status. On the other hand, A Pre-Approval requires a Credit check, and Employment, Income and Asset verifications. For many of my clients, I can do this in a matter of minutes. In a Buyers Market, a VERIFIED Pre-Approval usually wins the deal!
The Steps of the Process to Purchase Your Home:
You and Your Realtor will do the items that indicted in RED, I will take care of the balance of Items in BLUE
- Pre-Qualification
- Pre-Approval
- Home Selection
- Loan Origination
- Contract Offer
- Ratification of Contract
- Lock the Interest Rate
- Select Title Company
- Home Inspections
- Appraisal of Value
- Submission to Underwriting
- Loan Approval
- Loan Commitment
- Arrange Settlement
- Loan Closing
- Move In
QUICK MORTGAGE QUOTE can help you find out what you may be able to afford.
Use QUICK MORTGAGE QUOTE to see if refinancing can save you money. You can also fill out our short application to see how much you qualify. Of course you can always call and speak to me.
ADRIAN CITRONI - MORTGAGE BROKER
Primary Service Area: Catonsville & Vicinity
Academy Heights, Arbutus - Halethorpe, Catonsville, College Hills, Elkridge, Ellicott City, Oella, Westchester
Licensed Loan Originator NMLS# 144522; MD - DC - PA - DE - VA - FL - CA
CALL OR TEXT: 410-916-077