What To Know Before You Buy A Home
First time home buyers and experienced home buyers can get answers here. Get Started OR Speak to a Mortgage Loan Originator.
What you need to Know Before You Buy a Home
Buying a home can be complicated, but it doesn’t need to be. Arm yourself with the knowledge you need to be an informed home buyer, starting with the basics.
First-Time Home Buyers
If you’re buying a home for the first time, you probably have a lot of questions about the mortgage process. Whether you want to talk to an expert or find answers online, we’re here to help you get started. Here’s a list of links we’ve put together just for first-time home buyers:
- Buying your first home– A great place to get started, this page includes FAQs for buying your first home.
- Mortgage payment calculator– Find out how much home you can afford and what your monthly payment could be.
- Get preapproved– Save time in your home search and make confident offers by knowing how much home you can afford.
- Subscribe to the American Mortgage Corporation Blog– The American Mortgage Corporation Blog is your spot for tips on buying a home, personal finance and so much, much more.
Find Out What Your Mortgage Could Be
- Use our mortgage calculator– What price range are you looking at? Find out how much home you can afford and what your monthly payment might be with our purchase calculator.
Types of Loans
We’ll personalize a mortgage just for your situation. Check out some of our most popular mortgages and home buying programs.
- FHA loan– The easiest way to qualify for a home loan, an FHA loan gives you a government-insured loan with flexible choices, such as a down payment as low as 3.5%.
Conventional Loan A conventional loan is any type of mortgage that is not secured by a government-sponsored entity (GSE), such as the Federal Housing Administration (FHA) or the U.S. Department of Veterans Affairs (VA).
Construction and Renovation Loan American Mortgage Corporation offers several products and options to help our borrowers with financing for construction projects and home renovation.
- VA loan– Active duty military personnel, veterans and their qualifying family members are eligible for special benefits with a VA loan, such as no down payment and a low interest rate.
- Jumbo loan– If you need a mortgage between $424,100 and $3 million, we offer flexible rates and terms to help you get the loan that’s right for you.
- Compare all home loan options– Not sure what kind of loan is right for you?
Frequently Asked Questions
How much house can I afford?
Start with how much you want to spend each month on housing. Most budgets call for earmarking 28% of your post-tax income for house payments, including your homeowners insurance and property tax. For example, if your annual income after taxes is $60,000, 28% of that is $16,800, or $1,400 per month. However, every situation is different. Maybe you have costs in your monthly budget that affect your bottom line, such as childcare, car payments or student loans – the important thing is to find a monthly payment that you’re comfortable with.
Talk to a Home Loan Expert or use our mortgage calculator to see how the numbers add up based on today’s mortgage rates.
Should I buy a house?
If you’re thinking about buying a home, there are a number of factors that can help you decide if now is the right time. Are mortgage rates low? Are you planning to live in the same city for at least five years? Are rents rising in your city? Do you want to customize your home? If the answer to most of these questions is “yes,” then buying a home is a good option for you.
What are closing costs?
Mortgage closing costs, also known as settlement costs, are fees charged for services that must be performed to process and close your loan application. Examples of mortgage closing costs include title fees, recording fees, appraisal fees, credit report fees, pest inspection fees, attorney’s fees, taxes and surveying fees. The closing cost of a loan will vary depending on your geographic location.
Lenders are required by law to provide you with two documents – the Loan Estimate and the Closing Disclosure – which outline your closing costs and help you avoid surprises at the closing table. For more information regarding the loan process through American Mortgage Corporation, call (888) 402-6097 to talk with a Mortgage Loan Originator today.