1. Mortgage Interest and Property Tax Deductions Can Lower Your Taxable Income One of the biggest tax benefits of owning a home is the ability to deduct mortgage interest and property taxes from your taxable income. Mortgage interest deduction: You can deduct the interest you pay on your mortgage loan, which can add up to significant savings, especially in […]
1. Pre-Qualification Is Just an Estimate Getting pre-qualified is like a financial snapshot. You tell the lender about your income, debt, and basic financial situation, and they give you a ballpark number for how much home you could afford. It’s quick, easy, and useful for planning — but it’s not based on verified information, so
1. A Special Assessment Is a One-Time Fee for Unexpected HOA Expenses While monthly HOA dues cover regular expenses like landscaping or pool maintenance, a special assessment is an extra charge that covers major, unplanned costs. These might include: Emergency roof or plumbing repairs Big upgrades to shared spaces (like elevators, fences, or driveways) Legal fees or insurance shortfalls after storms
1. House Hacking Means Living in Your Investment House hacking simply means buying a property and renting out part of it while you live in the other part. This can look like: A duplex or triplex where you live in one unit and rent out the others A single-family home with a basement apartment or garage suite Renting out individual rooms in your
1. What Is Dual Agency, Exactly? In a typical home sale, one agent represents the buyer, and another represents the seller. With dual agency, a single agent represents both sides. That means: The agent writes up your offer… …but also advises the seller on how to respond Legally, the agent must remain neutral—but practically, it can be hard
First-Time Buyer Guide: How Appraisals Protect You (and Your Lender) Before you close on a home, your lender wants to know: is this place really worth the price?That’s where the appraisal comes in. It’s not just a box to check—it’s a critical step that protects your investment and helps ensure you’re making a smart financial move. 1.
1. An ARM Starts With a Lower Interest Rate Than a Fixed Mortgage One of the biggest appeals of an ARM is the initial low interest rate, which is fixed for a set period—commonly 5, 7, or 10 years. Lower rate = lower monthly payment early on Can help you afford more home in the short term Ideal for buyers
1. You Have a Steady Income and Stable Employment Before anything else, lenders want to know you can consistently make your mortgage payments. If you’ve been employed for at least two years in the same field and your income is predictable, that’s a green flag. Consistent paychecks = predictable monthly payments Stable job history = stronger mortgage
1. An Amortization Schedule Breaks Down Every Payment Your amortization schedule is like a detailed receipt for your entire loan. It shows: How much of each payment goes toward interest How much goes toward paying down the principal Your remaining loan balance after each payment It covers every single month, from your first payment to your last—and it helps you visualize
1. Property Disclosures List Known Issues and Past Problems Sellers are required to tell you about anything they know that might affect the home’s value, safety, or functionality. This can include: Roof leaks, foundation cracks, or water damage Termite infestations or mold issues Previous repairs or insurance claims History of flooding or fire It’s their legal obligation to
1. Bigger Down Payment = Smaller Loan and Lower Monthly Payments 1. Bigger Down Payment = Smaller Loan and Lower Monthly Payments When you put more down, you borrow less. That means: Lower monthly mortgage payments Less total interest paid over the life of your loanBetter loan terms in many cases (including lower rates) Even a few extra