Instead of Renting, Have you considered purchasing? A lender can review your information to see if you can qualify.
1. Do you have the credit score?
2. Do you have any money saved up?
3. What is your Debt-to-Income Ratio?
4. Have you had a lender screen your file to see if you would qualify?
Mathematics on how much you spend on a rental vs. owning a home
Renting
At $1,200 a month on a rental x 12 months = $14,400 a year paid in rent.
Add in any utilities you pay this will go higher.
Add in the First and Last months’ required deposit = $16,800 in one year paid for rent.
At the end of each year, when you renew your lease, your Landlord has the right to increase your rental amount, provided you are given, at minimum 30 days-notice.
Owning
Purchasing a $250,000 home with an FHA loan. (30-year fixed mortgage)
FHA Loan = 3.5% down payment at closing required = $8,750 down payment.
Earnest Money at 1% = $2,500 (given back to the buyer at closing.)
Option Money (based on per day needed for inspection): At 7 days for inspection = $100 (non-refundable).
Inspection: $350-$500 depending on the size of the house and the cost of the inspector.
Appraisal: $500 (one time fee)
Any title company costs (including HOA transfer fee, title insurance, attorney’s title company fees) = estimated at $1,800
Title Company Charges: $500-$600
Homeowners Insurance & Premium: $2,000-$2,200
Title Policy: $1,250
Paid at closing: $17,700
Your monthly mortgage payments will be determined based on your interest rate.
Possible Monthly Payment= $1,500-$1,800
Let The JButler Group negotiate the closing costs on your behalf to get you the best deal. Saving you money is our goal! Do not let closing costs intimidate you, some builders will help with some of the amount of closing costs as well as some sellers!