Mortage Tip Home & Wealth from Mike Mudry USA Mortgage Mike Mudry Mike Mudry Mortgage Banker 12140 Woodcrest Executive Dr. St. Louis, MO 63141 Mobile: 314-503-6024 Office: 314-628-2147 Fax: 314-453-2147 Content 5 steps to build up your savings for a home down payment - PLUS your 8 point spring maintenance checklist If youre a first-time home buyer, the big challenge is saving up enough money for the down payment. Financial experts tell us you need to take aggressive steps to cut spending, add income, or do both. Heres how to proceed. 1. Set a goal and timeline. Find out the price range of the type of home you want in the area you like. Then talk to mortgage professionals like us to get an idea of the down payment youll need, which could be up to 20% of the purchase price. Then set a timeline and figure your monthly savings goal. For example, if you need to save $20,000 in two years, youll have to put away $833 each month. 2. Open a separate down payment savings account. This keeps the money separate and makes it easy to track progress. The experts say that when youre saving for a short-term goal, put the money in a low-risk investment such as a savings account or a CD. Shop around for the best interest rate, and make sure the money will be available when you need it. 3. Small steps to big savings. Put together a budget based on what youre spending, and then look at the following to make cuts: New clothes and impulse purchases; daily costs like a specialty coffee; monthly subscriptions; car costs you can reduce by carpooling. Always ask before spending, Do I really need this, or do I just want it? Shop in physical stores, not online, and use cash, not credit cards. Make cuts in gym memberships, vacations, and entertainment. 4. Big steps to bigger savings. If you can handle some lifestyle changes, consider these options: Move in with family for a specified period of time. If you have the space, take in a roommate. Move to a smaller apartment: the rent can be substantially lower. Add income by working overtime if possible, or take on another job (a part-time job at a home improvement store can even help you learn more about maintaining the home youll buy). Sell your car and trade down to a lower-cost vehicle. 5. Look at retirement accounts. If you have a 401(k) and contribute more than your employer will match, think about putting that extra money into your down payment savings account. If you have an IRA, you may be able to withdraw funds without penalty to buy a first home, although you might have to pay income taxes. As with all tax matters, check first with a tax professional. MAKE THESE HOME MAINTENANCE CHECKS EVERY SPRING 1. Roof and chimney. Replace damaged shingles or roof tiles and repair flashing around vents, skylights, and chimneys. If your roof is older, start saving money to replace it. Clean roof if any mold is visible. Examine the chimney exterior for damage and have the flue cleaned and inspected by a certified chimney sweep. 2. Gutters and downspouts. Repair loose or leaky gutters and make sure downspouts are clear and drain away from the foundation. 3. Siding, brick, stucco. Pressure-wash siding to keep mold from growing. If wood is visible, sand and prime before painting. Scrape peeling paint and sand before painting. Check bricks and stucco for chipping and bad mortar. Repair or seal with an appropriate sealant. 4. Decks, driveways, fences. Pressure wash these too, and look for cracks and other damage that needs to be repaired. 5. Exterior caulking. Inspect seals around windows, doors, and other openings and scrape and re-caulk if deteriorating. Check window and door sills and thresholds for cracks, caulk edges and repaint or replace as necessary. 6. Screens. Clean window and door screens and patch holes or replace screening. Repair damaged frames and repaint. Replace broken hardware. Tighten and lubricate door hinges and closers. 7. Hot water heater. Open the spigot near the bottom to drain out sediment that builds up. This will lengthen the water heaters life and cut your energy bill. 8. AC compressor. This needs good airflow to work efficiently, so clear any plant growth blocking it. Whether youre buying your first home, moving up, or downsizing, we can help with the financing. Were happy to answer any questions, whenever youre ready to take advantage of todays attractive housing market. We can also help with refinancing your existing home or funding home improvements. Please call or email us any time. Were always here for you.... Have a great day! P.S.: Mortgage rates have edged up a little, but remain at historically attractive levels. When buying or refinancing, its smart to start the process early. Please call or email us to explore the appealing options available now. This was sent to you because of your relationship with Mike Mudry. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice or a commitment to lend. Although the material is deemed to be accurate and reliable, there is no guarantee of its accuracy. The material contained in this message is the property of USA Mortgage and cannot be reproduced for any use without prior written consent. Company NMLS 227262, Missouri Residential Mortgage Licensee. NMLS# 576558 | 3610-MLO This email was sent to barbchristensen@topproducer. You may unsubscribe from future advertisement e-mails from Mike Mudry. Click here to unsubscribe Equal Housing Lender MCID902263188
Posted on: Sun, 16 Mar 2014 18:46:36 +0000
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