The Home Buying Process Buying a home can be a complicated process. Click on the topics below to get answers and expert advice so you can be informed when it's time to buy. Lenders will use these figures or ones close to them to determine your eligibility for a loan amount. Consult the expert tip below to see how you can use them to quickly calculate the mortgage range you qualify for. The higher your down payment, the better interest rate you ll earn from a lender.
Lenders prefer lower LTVs and higher down payments because they reduce their financial risk.
Plan on closing costs to be 3-5 percent of your mortgage amount. You can also find calculators to weigh the benefits of renting vs. owning, estimate closing costs, compare interest rates, and even qualify for and secure a mortgage. Occasionally, a dual agent serves both roles. The agent commission averages about 6 percent of the home s price . This is usually paid by the seller and is split between the buyer s and seller s agents.