Locking in favorable terms with a fixed-rate mortgage. As of this writing, interest rates are at their historical rock-bottom. Receiving a fixed-rate mortgage lets you potentially lock in the most affordable terms we’ve seen.
The Money-Saving Secrets of the Home Purchase
If you’re tired of throwing rent toward the landlord, you can keep some of that money by putting it toward the principle of your very own home mortgage. Why bother? Here are some of the money-saving secrets that homeowners can enjoy:
Get pre-approved for a mortgage to do your research first. Ready to shop around? There’s no pressure. Get pre-approved for a mortgage and find out how much home you can afford—these are essential next steps that convince a home seller that you mean business.
Buy the home you can afford. When you know your total monthly liabilities, your income, and your credit rating, you can easily calculate just how much home you can afford. This will help ensure that you buy a house that remains a long-term blessing and not a strain on your budget.
The Stats: What You Need to Know Before You Buy a Home
Homeownership is common. In fact, statistics from 2022 show that the homeownership rate was a staggeringly high 65.8%, which means the majority of people have gotten out of the rent cycle and into their own home.
You don’t need experience. First-time home buyers constitute one-third of all home buyers, which means that you don’t have to feel intimidating by the home buying process, even if it’s your first time. It’s far more common to be going through this process for the first time than you might imagine.
The average length of time is low. Have house fever? You’d be surprised how quickly things can move. The average length of time between someone visiting a potential home for purchase and the closing date was only 73 days, or two and a half months.
Are you interested in finding out if a home purchase makes sense for you? Are you ready to join the ranks of homeowners and lock in potentially low rates?
2 Ways to Use Your FHA 203(k) Loan
Buy a Fixer-Upper (and Fix It Up)
Or... Renovate Your Current Home!
Rich got the job done for me. There seemed to be way less hoops to jump through with him then other companies I talked to. He made the process very easy. If you’re looking to mortgage or refinance I highly recommend working with Rich.- Eden Copeland
Working with Rich was pleasant & informative. He explains the process clearly & is very straight forward. This was important to me since I was a first time home buyer.- Mohammad Islam
I worked with Rich @ Drexel Hill Mortgage to refinance my house. I actually left to go on vacation and Rich called me and told me that the rates were rising and we needed to get the rate locked ASAP. He worked with me around the clock while I was getting the rest of the paper work to him. Turn around time from start to finish was less than a month. Other lenders had a six month waiting period to even get started. They also had the best rates and lowest cost compared to other lenders.- Nadim Keval
Tim is the most thorough person with whom I've worked, attention to every detail, always available. If you want the best rate with the best customer service, he is the guy.- John Rapchinski
I moved from New York City to Upper Darby PA. I just want to say “Richard” is the person who knows the buyers needs. He knows everything. Many times I tried with others and failed. For my last try I talked with Rich and within one month I am here in my house! This is my first home and Rate is almost none. I am very happy and thankful to Richard. My next mortgage going to be with Rich for sure.- Rony Ahmed
Rich was excellent very professional and helpful in the process of me and my wife purchasing our would recommend his services to any.- Lenny washington
I have brought my First home trough Drexel Hill Mortgage. Specifically, Richard is an amazing person and he helped me throughout the entire process, with all the information and support I needed as a First time Buyer. He was very patient to answer all my queries and concerns. He helped me find the best rate compared to other mortgage institutions in the market. Whether buying new home or refinancing existing one, I definitely recommend them.- Md. Rahaduzzaman
We used Drexel Hill Mortgage for our refinance for home improvements and a better rate. Rich, the owner, was super knowledgeable about the rates and extremely responsive to our questions. He is very professional and was able to guide us through the entire loan process. We would absolutely go to Drexel Hill Mortgage/Rich again!- Michelle Laucella
The Man with the plan. I just bought a house Richard Robinson was my mortgage broker. When you have the right people in your corner its like night and day if you are in the market to buy a house give this man a call. Richard Thank You for everything you have done for me what a smooth transaction. My Man!- Nibir Ayaan
Rich was knowledgeable and helpful in this process.- Beth Hale
Your Renovation Wish List Could Include...
Increase window size
Bring in more natural light
Finish a basement or attic
Create a mother-in-law apartment or guest space
Correct foundational issues
Protect your investment for the long-term
Add a detached garage when one does not exist
There’s room for everyone
Knock down walls
Open up the floor plan to create versatile, welcoming spaces
Flood-proof your property
Add a retaining wall to prevent expensive damage
Repair the pool
Tired of leaks and cracks? Fix the pool & start enjoying it
Expand or refresh the kitchen
Cooking is just more fun in an updated kitchen
Add square footage
Growing your family? Grow your home alongside it!
After remodeling, 74% of owners have a greater desire to be in their home, and 65% have increased enjoyment in their home.
How Does a Renovation Loan Work?
Depending on the types of repairs you plan to do, you have two options when it comes to securing a FHA 203(k) Renovation Loan: Limited and Standard.
The Limited 203(k) loan
The Limited 203(k) loan is for non-structural or “cosmetic” repairs. It covers up to $35,000 in renovation costs. With a Limited loan, you can do nearly anything that doesn’t affect the home’s structure! Think kitchen and bathroom remodels, carpet and flooring replacement, painting, appliance replacement, and much more.
The Standard 203(k) loan
The Standard 203(k) loan is a loan for projects with repair costs over $35,000. It can be used for structural or non-structural repairs. With a Standard Loan, you have even more flexibility. You can expand the home’s footprint, improve accessibility for differently abled people, and even move the home to a different site.
What You Need To Know About A Home Purchase
Why should I buy a home rather than rent?
Everyone’s situation is different. However, in the era of low interest rates, a new home purchase can make financial sense for a lot of people. Locking in these low interest rates can mean paying less for more square feet in some cases. That said, every person’s situation is different, and your motivations for buying a home (including the need for more space or privacy) may differ from other people.
How do I start the home buying process?
One of the best ways to show that you’re serious about buying a home is to get pre-approved for a mortgage. This will give you some leeway when it comes to making offers when you view homes. And in some cases, it’s viewed as a necessity when you go out shopping for homes. In many cases, the process is as simple as finding out what you can afford given your current income, levels of debt, and financial obligations. The good news: it’s a lot simpler than you think!
What kinds of financial commitments do I have to make?
There are a lot of options for financing when you make a home purchase, so don’t feel that you have to commit to any particular one at this point. You’ll find that it’s possible to make a 20% downpayment, for example, but there may be types of financing available that require far less—as low as 3%, depending on your situation.
Why is now a good time to buy a home?
While it’s true that rates are up from last year’s historic lows, there are still many reasons why now could be a great time to buy. For one, falling home prices mean that you can get more house for your money. In addition, there is less competition from other buyers, so you may have an easier time negotiating a lower price. Don’t let rising rates scare you off – there are still plenty of reasons to buy the home you’ve always wanted!
What is the next step?
Click through our buttons above to find out whether you qualify for great terms on a new home purchase!