As a Steamboat Springs home buyer, the concept of having enough money in the bank to make a down payment can be overwhelming. Here are a few great tips to achieve homeownership easier and faster.
Financial preparation is the first - and perhaps the most important - step in the home-buying process. Get ready for your purchase by taking a careful look at your finances, especially your savings, credit, income and debt. If you have a down payment goal in mind, you'll reach it more quickly if you stick to these simple rules:
- Pay yourself first. When you pay your monthly bills, the first check you write should be to your savings or investment account. It may be easier to have a portion of your paycheck automatically deposited into your savings account. Many employers that offer direct deposit also provide the option to allocate funds to more than one account.
- Save tax returns and bonuses. It is tempting to go on a shopping spree when you receive a tax return, a large commission or a bonus. However, applying tax returns and bonuses to your down payment fund will give you a significant boost and may help you become a homeowner much faster.
- Visit with a lender or a financial advisor. Many potential homebuyers are surprised to learn that saving money is just one way to acquire funds for a down payment. Homebuyers may be eligible for other sources of down payment funds, such as a local down payment assistance program. Homebuyers may also tap their 401(k) for down payment funds. A home mortgage consultant can help you learn more about these options.
"Saving for a home takes discipline, but the reward of homeownership is definitely worth the work," said Lynn Reiff, a home mortgage consultant with Wells Fargo in Steamboat Springs. "If you can follow these tips, you'll be off to a good start."
Wells Fargo Home Mortgage is one of the nation's leading retail mortgage lenders and services one of every six mortgage loans in the nation. A division of Wells Fargo Bank, N.A., it has a national presence in mortgage stores and banking stores, and also serves the home financing needs of customers nationwide through its call centers, Internet presence and third-party production channels.
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