5 Ways to Save Money When Buying a Home

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Property Investment Company
https//www.nelabuyshomes.com/
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5 Ways To Save Money When Buying A Home
Buying a house in LA is not an easy task and
especially not pocket friendly. You must be
earning around 127,000 annually to even be
eligible to buy a single family home. Moreover,
even after paying 20 of the down payment of the
house, you are expected to pay 3,000 for monthly
mortgage.So, how do you begin saving money for
the house? Or how to save money when buying the
house? We put together a few professionals and
got down to answering these questions and much
more so that you are completely prepared for
buying your new house.
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5 Ways To Save Money When Buying A Home
DECIDE THE AMOUNT OF MONEY YOU WANT Before even
saving up for a home, you need to set a budget
and look for houses that can fit well within that
budget. Then, based on that budget you will have
to make a long term plan in order to decide
within how many years would you want to buy the
house. Remember the longer you take, the more
expensive the house will get. So, try to save up
money as much as you can as fast as possible.
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5 Ways To Save Money When Buying A Home
HOW TO SAVE UP FOR A HOUSE? Saving up money is
an essential to buy a house. Purchasing a house
is nothing like anything you have bought before.
You have to make up a plan and find ways to save
a lot of money to make ends meet. We would advise
you to set a monthly savings goal and achieve it.
Remember to note down the price of the type of
house you want so that you know exactly how much
you need to save.
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5 Ways To Save Money When Buying A Home
Following is a list of things for you to do in
order to save up for a house
Setting up a Savings Account/ High Yield
Savings Account We all have that moment where it
clicks us that we should do something about our
living situation own a house and live in it
instead of renting a place.The day you get your
this moment, go to you bank and open up a savings
account. However, this savings account would
hardly give you any profit considering the little
interest you would get. So, a better option for
you would be to open up a high yield savings
account. This is because these accounts give you
a lot more interest than your average bank
savings account. In fact, you can get a
Certificate Deposit for a high yield savings
account to compare and contrast how much you
interest would you get from it and tell it with
the interest the bank is offering. Then,
whichever option attracts you the most, go for it.
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5 Ways To Save Money When Buying A Home
How much to put in that savings account? First,
plan out your monthly budget and figure out the
total amount of money you need to spend on a
monthly basis. Then, the rest of the money that
gets saved up from your cheque should be
immediately transferred to your savings account.
Do this at the start of the month immediately
after getting your pay cheque. Decrease your
Expenses Once you have made a list of your
monthly expenses, think of what you can cut from
that list so that more money can be saved. The
whole point of this is to help you achieve your
goal much faster. Deposit all that saved up money
in your savings account so that you do not go
ahead and use it on something else. Money
instead of Gifts We are sure you receive plenty
of gifts in the holiday season or on your
birthdays. So, how about you to talk to your
friends and family and ask them to give you money
to deposit in your savings account as a gift
rather than actually buying you one. This would
be a great way to add a couple more dollars in
your account.
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TIPS AND TRICKS TO SAVING MONEY WHEN BUYING A
HOUSE
Listed below are 5 ways to help you save money
when buying a house
1) USING A REAL ESTATE AGENT Some people choose
not to get a Real Estate Agent because they think
Why should I have to pay someone to buy me a
house when I can easily do it on my
own? However, this couldnt be further from the
truth because you will actually save up a lot of
those hard earned bucks using a Realtor. In fact,
the truth is that you wont be the one paying his
commission it is the seller who will. Buying a
house with the help of a Realtor is going to make
the process so much easier for you too. They
often know the value of a house as soon as they
walk in and will let you know immediately if it
is overpriced or under-priced. Additionally,
moving requires a lot of work. You need to be in
contact with good movers, home inspectors,
contractors etc. It can be really hard for you to
keep up with the expenses of paying all these
people and you might actually end up overpaying
them. This is why Real Estate Agents are so
important! They know a lot of professionals and
can hook you up with them along with providing
you good money saving deals.
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TIPS AND TRICKS TO SAVING MONEY WHEN BUYING A
HOUSE

• All in all, a good Realtor will make proper
  amendments in the contract and crack deals that
  will end up saving you a lot of money. It us
  always a good idea to either ask your friends for
  referrals of good Realtors or look for them
  online on websites like Zillow and Yelp.
• 2) CREDIT SCORE
• If you want to get lower interest rates on loans
  and decrease the Lender fee, make sure your
  credit score is high as both of these payments
  directly depend on your credit rating.
• Here iss how you can increase your credit score
  quickly before buying a house
• Firstly, you will need your credit reports copy.
• Next, you will need to highlight all negative
  accounts.
• Then, dispute your credit inquiries.
• Make sure to pay off your credit card balances.
• The next step is to get in touch with collection
  agencies and ask them if they could remove the
  accounts that you pay off.
• Do not pay those agencies which refuse to remove
  accounts from your credit report.

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TIPS AND TRICKS TO SAVING MONEY WHEN BUYING A
HOUSE

• It is also very important that you get in touch
  with creditors and ask them if they could remove
  all late payments.
• Now you must dispute all credit inquiries.
• Lastly, becoming an authorized user on a
  friends/family members credit card will also
  greatly help you in increase your credit score.
• By following the steps given above, you can
  increase your credit score by as much as 100
  points in just thirty days!
• Additionally, try not to open up new accounts by
  buying a car or anything else when you know you
  have to apply for mortgage. This is because as
  soon as you open up an account, your credit score
  will fall and you really need to keep the score
  high to make sure you dont have to spend more
  than you absolutely need to.
• We also recommend that you keep Credit Card
  balance below fifteen percent of the credit limit
  to keep your score high at all times. Do keep in
  mind that your payment history will have a thirty
  five percent impact on your current credit rating.

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TIPS AND TRICKS TO SAVING MONEY WHEN BUYING A
HOUSE
3) HOME INSPECTIONS Many a times, you might walk
through a house for the first time and find that
it perfectly fits your description of a perfect
house. However, once you start living there, you
might actually start finding hundreds of tiny
faults like toilet moulds, plumbing issues and
squeaky floors. This is why it is absolutely
necessary to get a good Home Inspector and have
him check the place out before you place your bid
on it. The Home Inspector can make a detailed
review of all the flaws in the house and you can
then decide to either buy a new place or
negotiate a lower price for the current house. We
recommend getting a house with small faults in it
because they are going to be cheaper. This is
because houses in perfect condition are in high
demand which makes them more expensive. On the
other hand, you can get a not so perfect house
for a much cheaper price and pay a meager amount
to get small renovations done. This will allow
you to give your house a personalized touch while
saving lots of bucks.
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TIPS AND TRICKS TO SAVING MONEY WHEN BUYING A
HOUSE
4) MORTGAGE LOANS You should always check out
the different types of Mortgage Loans and see if
you are eligible for them. For example, if you
are a veteran, you can apply for a VA loan. This
way you wont have to make a down payment as well
as pay mortgage insurance. Also, if you buy a
house outside of metropolitan areas, you are
eligible for USDA loans. Basically, these loans
were created to help people with financial
troubles buy houses in rural areas. This loan too
will remove the need for a down payment along
with reducing mortgage insurance to 0.35 percent
of the loan amount. Additionally, you should also
consider paying higher monthly premiums by opting
for a 15 year mortgage plan instead of a 30 year
one. This will lower your interest rate and help
you save thousands of dollars!
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TIPS AND TRICKS TO SAVING MONEY WHEN BUYING A
HOUSE
5) AVOIDING PRIVATE MORTGAGE INSURANCE (PMI) You
need to pay at least 20 of the down payment in
order to avoid PMI. PMI is basically an insurance
of the mortgage loan that you are taking so that
if you fail to pay the loan, the lender will not
experience any inconvenience. He will be paid via
the PMI. Although if you opt for a FHA loan, you
will have to pay the mortgage insurance. It does
not matter whether you pay 20 or more percent of
the down payment since PMI is an essential for
FHA. We would advise you to thoroughly check and
plan out whichever of the two plans you decide to
go with. Some other ways to save money Buy a
house in winter- Now, this may come as quite a
surprise but if you buy a house in the winter
season , instead of summer or spring, you can
save as much as 20,000 due to lower
demands. Search and inquire about different home
insurance companies. You will be shocked to know
how much some companies overcharge their
customers! Dont forget to add contingency
clauses to your contract. These insure that in
the event of you losing your job or the loan
failing to come through, you will be able to
withdraw your offer and get your money back.
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TIPS AND TRICKS TO SAVING MONEY WHEN BUYING A
HOUSE
Buying a house is without a doubt expensive but
it definitely will help you save money in the
long run. Also, if you decide to sell the house,
you will not experience any loss. The next buyer
will pay the same amount or even more. Overall,
we suggest you to properly look at your options
and then choose the house you are willing to
invest in.
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Nela Buys Homes Address 5532 N Figueroa
Street, 200 Los Angeles, California 90042
Website https//www.nelabuyshomes.com/