Borrowers: Fall in love with the payment
Fall in love with the payment, not the house. These days, it’s easy to think we can get whatever we want because oftentimes, we can. Here’s a word of caution - just because you CAN do something doesn’t mean you SHOULD. Remember your Mother asking you about jumping off bridges if your friends were doing it?
Don't Put the Cart Before the Horse
Our society is about instant gratification. If your parents or friends live in a certain style home or a neighborhood with a certain status, we inherently think we should have that too.
And while there’s nothing wrong with wanting something or setting life goals, deciding whether or not you can really afford it is an entirely different matter.
That’s where I come in.
We often hear from borrowers who have found a home they love. It’s the perfect home. In the perfect neighborhood.
Except they find out the note or the taxes or the insurance is WAY more than they thought.
It’s a crushing blow… finding out you can’t have the home you LOVE because you can’t afford the payment.
Fall In Love with the Payment First
There’s a saying I’ve used for years and it’s served my clients well:
“Fall in love with the payment, not the home.”
Now don’t get me wrong… I’m NOT saying you shouldn’t be in love with the home you buy. That’s not at all what I mean.
What I’m suggesting is that you should first get fully pre-approved for a mortgage loan. A pre-approval means an underwriter has reviewed your income & credit history and has pre-approved you up to a certain loan amount.
The reason pre-approvals are so much more valuable than a pre-qualification is that they take into account important factors such as taxes and insurance. Plus, there’s no guessing about how an underwriter might calculate your income or analyze your down payment savings.
Once you’re pre-approved for a mortgage payment you’ll look forward to paying each month, THEN you can go shopping for houses in the ideal price range.
That way, when you find the perfect house in that price range, you can actually get the house (instead of a broken heart).
Take the Mindful Approach
As a certified yoga instructor, I’ve learned to be mindful of the important things in life and want to help you approach buying a home with the same type of energy.
Being mindful of what you can responsibly afford to pay and then choosing your home based on positive boundaries rather than simply going for broke means you’ll be happy a year down the road whenever that mortgage payment is due.
Get in touch with me today to prequalify for a loan so you can fall in love with the payment BEFORE you fall in love with the house!
* Specific loan program availability and requirements may vary. Please get in touch with your mortgage advisor for more information.