How to find a real estate market that’s right for you in California?
It’s a long, complicated process that involves multiple applications and a hefty deposit to be paid.
Here are our tips for saving money in the most affordable way.
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The process of finding an affordable homeIn a state like California, finding an apartment is a lot easier than finding a place to live, says Michael Osterholm, a realtor in Oakland, California.
He says if you have a solid credit score, your home will be more likely to attract a homebuyer.
You can check out the state’s mortgage guidelines to find out more about how much you’ll need to put down, and how much your income will be.
If you’re a single person, you can apply to both the state and local mortgage pools.2.
Find an apartment for under $700 a monthIn California, there are two types of apartments: low- and high-end.
If your rent is $700 or less a month, you might want to consider a studio apartment, which is about half the price of a studio or one-bedroom apartment.
You’ll need a deposit to buy the unit, and if you want to buy a condominium, you’ll have to pay an additional $600 a month.
If you have more than $700 in a month’s rent, you need to be able to put up a deposit.
Osterhams advice is to pay off your mortgage as quickly as possible and to wait at least three months before putting down the deposit.
If it’s a studio, it’s worth waiting for at least six months before you put down the loan.3.
Make sure you have insurance and a depositIf you’re paying off a mortgage and have an emergency, you should definitely have insurance, says Osterholm.
“You don’t want to be left with a mortgage that’s in default,” he says.
If your landlord or landlord’s insurance provider says they won’t cover your deposit, they can put you on a subprime mortgage.
“But they’re not going to cover a deposit of $800 a month,” Osterhammer says.
“So if you can get a mortgage, but they’re only covering $800, then you need some kind of help.”4.
Find a home with a good credit scoreIf you’ve got a good score, you’re in good shape to buy, says the realtor.
If not, you may want to get a credit report to check if you’ve gone into debt before.
If the credit report says you’ve had no delinquencies, you shouldn’t pay off a loan or mortgage, Osterhoff says.5.
Make an application onlineIf you can’t apply online, the next best thing is to contact the real estate agents to apply.
They’ll take care of all the paperwork for you, says Chris Oosterholm, the agent in Los Angeles.
If all goes well, they’ll send you an email to confirm your application.
Once your application is processed, you have to go to the local bank and sign a loan and deposit agreement, which will put the money in your bank account.6.
Make your depositYou can deposit as much as $1,000 to a bank account at any time.
But keep in mind that the banks may have restrictions on what they’ll accept.
You can make an emergency deposit of up to $10,000 into an account in your name, but it may be subject to a $300 annual fee, says Scott Wilson, an agent in Sacramento.