Before You Buy

Many people think of owning a home as a very expensive endeavor, while they think of renting as a cheap and convenient alternative. This is far from the truth. Purchasing a home with a mortgage may quite possibly be the same price or even less in cost than renting that home or apartment.

Why? Well, look at it this way. When you are renting, you are virtually throwing away money. Each month when you pay rent, you will never see anything out of your check besides the use of your apartment for that given month. Usually you still have to pay utilities and other service bills in addition to the rent. When your lease is up, you may get a deposit back but sometimes repairing your home or apartment costs almost as much or as much as the deposit itself!

Buying a new home can be costly, but mortgages can be very reasonable. Most people who are renting have not even looked into the mortgage rates or home buying options out there. They are just assuming that they cannot afford a home! Assuming may be foolish because there could be homes out there that you are able to buy and pay off within a reasonable time frame.

The good thing about buying a home as opposed to renting one is that you acquire ownership, or equity. Not only that, but it is your home to do with what you please!
You can paint the walls, knock out doors, add a bar or a bath or a closet, and, even, decorate the place without worrying about holes or scratches.

Everything you are paying is going towards something. It is not money you are throwing away. Also, when it comes time that you want to sell your home some day, you may get a lot more money than you originally paid for the home! That is a pretty exciting thought, isn’t it?

Although there are sparks to purchasing a home rather than renting one, there certainly are things that making home buying a little more complicated than renting. It is definitely more of an obligation. Your down payment on the home will probably be much more than say, the deposit that you put down when renting. You will also have to pay property taxes, homeowners insurance, and most likely much higher utility bills.
You will also be paying a closing cost, which is typically two to six percent of the loan amount.

If you are interested in buying after considering the pros and cons, you should first try to get a mortgage quote. Chase Manhattan Mortgage is the perfect company to contact for mortgage. They will give you individualized and personal attention, always providing friendly service and professional advice.

At Chase, you will be able to pre-qualify and be on your way to buying a new home in no time. Once you pre-qualify for your mortgage, real estate agents will take you more seriously as a home buyer, and you will go into the home buying process with a clear idea of what you can afford.