The step by step to acquire a home
THE DECISION TO BUY HOUSING THROUGH A MORTGAGE CREDIT IS IMPORTANT. IT IMPLIES AN ORDERLY PROCESS THAT GUARANTEES A POSITIVE EXPERIENCE AND RESULT.
The steps to follow are those:
Value of housing
The question we have to ask ourselves is: how much is the house I want to buy worth? It is important to review the options and values, where a factor to consider is always the location of the house, access roads, transportation and proximity to schools and work. The housing we buy should be within our economic possibilities; a criterion that is used to determine its value
is that the housing must represent, at most, three times our annual income.
Based on the value of the home, we must identify how much can I give down, since this represents the available savings that I can use for the purchase.
The amount of credit to request is the difference between the value of the home + expenses - down payment. The expenses for the purchase (notarial fees, registration fees and taxes) must be considered,
and those relating to the mortgage loan itself (opening commission, appraisal, etc.), which implies estimating an expense of 6% to 10% of the value of the home.
Currently, in mortgage loans can be lent up to 90% of the value of a house, and for credits in co-financing with Housing Agencies (Infonavit and Fovissste) can obtain a higher percentage, derived from being two credits and the use of the Balance of the Housing Sub-Account.
Once the credit amount is determined, you can obtain a credit simulation and know how much we have to pay monthly. The payment factor per 1000 in a 20-year mortgage loan is approximately 10 pesos per 1,000 pesos; which implies that a monthly payment of 10,000 is paid for a loan of one million pesos. The income to be verified by the credit institution is three times the monthly payment, which implies in the previous example of an amount of 30,000 (10,000 x 3). The foregoing considers that individuals or families can allocate approximately 30% of their gross income to the monthly payment of the mortgage loan, or 40% of all their monthly debts, including the mortgage loan.
In parallel it is important to review the Credit Bureau to know our credit history. All people who have contracted a credit card, service card, car loan, mortgage or who have hired a telephone or pay television service, are surely in Buró. Credit institutions report monthly how each person pays their loans, so it is important to maintain good behavior. A best practice is to review the credit history periodically. Anyone has the right to request a free credit report once a year.
I recommend saving the amount of the monthly payment that will be paid for a period of three to six months to identify what adjustments we need to make in the family economy. When a mortgage loan is contracted it is important that the family knows the great commitment that is acquired and the discipline that must be had in the expense, since possibly some expenses must be eliminated. In addition, it is convenient to analyze the important events that can happen during the payment period of the mortgage (arrival of a child, entrance to the school, the university and health expenses, among others).
Selection of the financial institution
Once we have the previous points, it becomes fundamental to select with what entity we will contract the mortgage credit, for which it is important to value aspects such as:
Financial cost. It is represented by the monthly payment, commissions, appraisal cost, which is captured in the Total Annual Cost (CAT), which summarizes the cost of financing at an annualized interest rate.
Insurance coverage. Represents the insurance coverage of damages, life and unemployment.
Advice. It implies the explanation of the product that covers your need for housing financing.
The mortgage process is divided into two parts:
In this stage a certificate is issued with the authorization of the credit where the amount, rate, term of the loan and its validity are specified, which can range from 60 to 120 days. An authorization can be received in a period of one to five business days.
In this stage the evaluation of the guarantee is carried out through the appraisal process, and the writing project for the signature and disposition of the credit is elaborated. In this stage the Public Notary plays a very important role to have legal security in the purchase.
To put the above points into practice, look here for a real exercise.
The mortgage process can last between 20 to 45 days if the housing is finished and ready to be deeded.
It is not advisable to sign a promise of purchase contract until you have the authorization of the credit, and know if the home is an acceptable guarantee for the bank according to the assessment and legal opinion.
The day we sign our credit we must answer affirmatively to certain questions: Have you reviewed the total of payments that you have to make for the purchase of housing ?, Do you know the coverage of life insurance, damages and unemployment ?, Do you know the process? to make a claim? Do you know and know how to interpret the account statement? Do you know what the court date is? Do you know how to make capital advances (prepayments)?
The purchase of a home and the hiring of a mortgage loan represent one of the most important decisions in life. To the extent that we do it with the most information and advice, this will allow us to make better decisions and the opportunity to increase our assets.
Source: Real Estate Market & Lifestyle./Blog vivanuncios.