Blog

The housing market today in the Ozarks can be intimidating for first time home-buyers. It can be difficult to know where or when to start. MidMo Bank Mortgage President, Scott L. Noskowiak, offers steps to take before beginning your path to homeownership.

“Homeownership is different for everyone and it is important to begin by assessing whether or not you are in the position to purchase a home. There are a variety of factors that can impact your readiness to become a homeowner.

First, familiarize yourself with your credit and credit rating. Consider the number of credit accounts you have and the length of time you’ve had each of those accounts. Car loans, student loans, credit cards, utilities or other self-reported items all show up on your credit report and influence your credit rating. Know what your payment history looks like on each of those accounts and make sure all scheduled payments are made on-time and are for more than the minimum payment; keeping the amount still owed as low as possible.

Your income affects how much home you can afford. Keep your debt-to-income ratio healthy and don’t over-extend yourself. In order to get preapproved, your debt payments must stay below a certain percentage of your income. This number can vary based on the type of mortgage loan product used.

There are many costs that are incurred when purchasing a home, but one of the most important to consider, is a down payment. Although not all loans require a down payment, such as USDA or VA home loans, it is still recommended to have a lump sum set aside throughout the process for unexpected costs. The typical home buyer puts down anywhere between 5-10%.  When you enter the preapproval process; the loan option, monthly payment and down payment will all factor into determining your monthly mortgage payment.

Though there are many factors to take into consideration before beginning the path to homeownership, MidMo Bank’s team of local mortgage experts makes the process seamless with our Buyer Ready Program. For more information or to talk to one of our lenders today, visit www.ApplyToMidMo.com.”

Scott L. Noskowiak, President, Mortgage Banking
Mid-Missouri Bank
NMLS# 628351 Institution #409162