Tips for homebuyers
Whether you're buying your first home or looking for a new place that works better for your current lifestyle, here are some things worth thinking about.
Are you a first-time buyer?
Homeownership has its benefits. For starters, you'll become part of a community of neighbors, as well as have the security of owning the roof over your head. And as a homeowner vs. renter, you also have the chance to:
- Take control: Avoid rent increases and cancelled leases while creating a home that meets your needs and tastes.
- Build home equity: Grow your home's equity when you make additional principal payments to your mortgage account.
- Get tax benefits: Deduct mortgage interest and real estate property taxes on your income tax returns. (Consult a tax advisor regarding the deductibility of interest.)
- Build your credit: Create a strong credit history by making on-time mortgage payments.
Because getting a home loan can be complex and expensive, you may want check out the advantages of getting a Union Plus Mortgage. Over 200,000 working families have already benefited from this program with its "uniquely union" features.
No matter where you get your mortgage, a monthly mortgage payment typically has four parts:
- Principal: Reduces the outstanding balance of your mortgage.
- Interest: Goes toward the cost of borrowing the money.
- Taxes: Goes toward property taxes charged by your local government. A portion of these taxes is typically collected in every mortgage payment and held in an escrow account for tax payments made on your behalf as they become due.
- Insurance: Pays for homeowners or hazard insurance, which provides protection against property damage due to wind, fire or other risks. Like taxes, insurance premiums are typically collected and paid from an escrow account.
Ready to buy your next home?
Family situations and hoem financing goals change. When they do, it may be time to buy a home that works better for your lifestyle. Benefits include:
- Gaining additional space for your family, hobbies, or your social life.
- Downsizing to have space that's more manageable with less upkeep.
- Enjoying a shorter commute to a new job with a new home closer to work.
- Moving into your dream home with the amenities you've always wanted but previously couldn't afford.
Before you start looking, figure out how much you can manage to spend. There are different ways to estimate how much you can borrow. Use this payment calculator to estimate payments for various mortgage amounts and interest rates. When you know how much you expect to borrow, you can estimate a price range.
Learn more about how a Union Plus Mortgage-with its unique union benefits-- can help you buy your next home.
Interested in refinancing your current home? Check out the Union Plus Mortgage program.