Monthly house payments are your highest expense every month. There are a few techniques when you buy a house to lower that cost and save yourself money every month. We collected 4 ways to save on your mortgage payment to give you a helping hand and hopefully put some cash back in your pocket.
- Increase Your Down Payment
Your down payment is a huge indicator of how much you’ll pay each month on your mortgage. The more you can save up the better. If you can get to a 20% down payment, your monthly payment will be less and you won’t have to pay PMI, the monthly insurance payment.
- Pay Down Points
When you buy a house or refinance, you can “buy down” your interest rate by paying points when you close. Each point is worth one percent of your loan balance and can reduce the mortgage rate on your loan. You can also gain different concessions based on your loan type. For example, you can get up to six percent from an FHA Loan.
Refinancing your mortgage to a lower rate will keep your cost down. That’s a fact. Lower rates are here but may not stick around for long, so it’s time to make sure that you are saving money by catching these low rates while you can. Your home value is rising quickly, but may not be a great value if you wait to refinance and miss low rates.
- Request A New Tax Assessment
Your loan is made up of a few different payments, including your property taxes. If you think you’re paying too much, you can file an appeal to reduce your tax burden. Watch out, though – the assessment doesn’t always go your way and you can end up owing MORE money on your taxes if the valuation goes higher than expected. It’s a gamble, but if you’re sure, give it a shot.
The Home Loan Expert Team is ready to help you save. Call us in St. Louis at (314) 781-9700, Chicago at (773) 770-4727, Indianapolis at (317) 550-1515 or Nashville at (615) 810-8555. You can always apply online at www.thehomeloanexpert.com, and we’re also open on Saturdays to better serve you. We work hard to make it easy on you. Nobody gets lower rates on better loans than The Home Loan Expert, Ryan Kelley, why go anywhere else?