Purchase with Peace of Mind at Grand Savings Bank

Buying your first home can be daunting, especially in an economy that seems to reward wealth. At Grand Savings Bank, we believe that owning a home shouldn’t cost you everything. That’s why we provide personalized service to first-time homebuyers: it isn’t just about securing a mortgage loan; it’s about peace of mind. Read on to learn how the experts at GSB can help.

Tackling Economic Uncertainty

Is it a bad time to buy a house? How can you be sure? With rising gas prices and a challenging job market, it’s understandable to feel a little uncertain about investing in a home and taking on new debt. The real answer lies in your personal finances. If your income is steady and your debt is under control, don’t let the fear of “what if” delay your decision – there will always be at least one reason to put off buying a home. At Grand Savings Bank, our mortgage experts are here to help you determine how much you can afford to borrow while still leading the lifestyle you’re accustomed to.

Understanding Interest Rates

If there’s one thing homebuyers are known to obsess over – and for good reason – it’s interest rates. When borrowing money to purchase a home, the lender has the right to collect a fee (interest) in exchange for loaning the money. The fee is calculated as a percentage of your total purchase price. For example, if purchasing a $100,000 home with a 3.5% interest rate, the total interest you would pay over the term of your mortgage would be $3,500 ($100,000 x 0.35 = $3,500). That figure would be divided equally across your monthly mortgage payments. Thus, if your $100,000 home has a 30-year mortgage, that means you’ll make 360 monthly payments (12 months/year x 30 years = 360). The amount of interest you’ll pay monthly is therefore $9.72 ($3,500 total interest / 360 monthly payments = $9.72). Accordingly, if interest rates are high, the amount you pay over the term of your mortgage (and each month) will be higher. At Grand Savings Bank, we not only work to get you the lowest rate possible; we also analyze your debt-to-income ratio to determine whether the current rates are optimal for your situation or if it’s advisable to wait a few months.

Pre-Approval

One of the best ways to ensure a seller sees your offer as soon as possible is to complete the loan pre-approval process up front. The mortgage professionals at Grand Savings Bank are here to help determine your borrowing power on the front end, so you can make an informed decision as soon as you’re ready to do so.

Buying a home is a big step, but you don’t have to take it all alone. Connect with our mortgage team today for honest advice, expert guidance, and a trusted partner for every step of the journey.