If you are thinking of moving to a new city, then Upland is the best place. This is a city in San Bernardino County in California. According to the consensus of 2010, the city has a population of 73,732. The city was incorporated in 1906; its previous name was North Ontario.
What makes this city special is its location. It is located at the foot of the San Gabriel Mountains. It shares borders with Rancho Cucamonga to the east, Claremont to the west, San Antonio Heights to the north, and Ontario to the south.
This is a good place to live with your family as the people are friendly, the schools are good, and there are plenty of things to do and see. It is a safe and secure place for children to grow up. There are several others benefits of living in the Upland. In this post, we have highlighted a few of the benefits. Have a look!
Steps for Ensuring Financial Health before Buying a House
Buying a house is a very big and important decision in a person’s life. You have to ensure that you are choosing the right place with maximum benefits at your nearest. Otherwise the investment you are going to make while purchasing your house can go downhill very easily. The most important aspect while buying a house is your financial standing and what your financial health will be after you purchase the house when you have borne all the costs.
Here we have formulated a list for your help so that you do not leave any point while ensuring your financial help before and after you buy a house.
1. Scrutinize Your Credit Report
First of all you need to look into your credit history so that you can calculate that how much loan you can get for your house financing. Generally you will need at least a score of 620 to get a mortgage while a score of 740 or above will give you the best rates. If your score is less than 620 then you will have to increase your score to be eligible for a loan.
2.Set a Budget
According to how much financing you can get for buying your house you will have to set a budget so that you can purchase the house in your desired area, bear the other costs and live comfortably after that without having to live off on peanut butter and jelly sandwich for the next 10 to 15 years. The usual standard for the price of a house is 2.5X of you annual income, more than that can throw you in a jeopardy.
3.Discuss about Your Loan Options
You should go and talk to a lender to talk about your loan options such as equity to interest ratio and instalment plans. You can choose either a fixed rate loan or an adjustable rate mortgage ARM (it has an initial fixed rate that is adjusted according to the mortgage after a set period of time)
4.Get a Pre approval for Your Loan
Now you can go choose a lender and get yourself a preapproval. It is based on your income, credit score and debt history. A per-approval does not mean pre-qualification because the lender will have his own cursory assessment either you can afford the mortgage or not.
5.Arrange for the Down Payment
You will also have to arrange for about 20% to 30% of the total price as your down payment. If you cannot arrange that much cash at once, you can also apply for the FHA or VA loan to pay your down payment.
6.Application and Closing Costs
It is necessary to complete all you documents and fill out your applications. Applying for the loan, site inspection and closing the deal will also cost you an amount of money as well as the legal charges. It will be best to keep these costs in mind while preparing for purchasing a house.
Once you purchase a house it will also cost you to prepare the house for living like, painting, flooring and any fixes that are required before you move into your house.
8.Cost of Memberships and Utilities
Generally houses are associated with an association or society. You are also required to pay a hefty price to them annually which will bear the expenses of society maintenance, pool cleaning garden maintenance etc.
9.Property Tax, Insurance and Maintenance Cost
After you own a house you also have to bear other expenses which as a tenant you don’t have to worry about like property tax and insurance fees of your house. Further if there is a requirement for any fixes like plumbing, electricity and drainage etc. you will also have to set an amount aside to bear these costs.
We hope that you will keep all the above points while purchasing your house to avoid later financial crisis. If you require any further insight about the financial costs while purchasing a house, feel free to contact us.