If you decide to purchase one of those houses for sale in Kennewick, you’re on the verge of a major milestone in your life. Assuming you’ve got the financing prepared, you’re probably already thinking of how you’re going to build equity in your home quickly. Retter & Company Sotheby’s International Realty and other real estate experts say that these tips may help.
Consider a shorter mortgage period.
You can take a 30-year mortgage, but a 15-year mortgage is best if you are looking to pile on equity. With a shorter mortgage, you get to save a fortune on interest and complete your mortgage quickly.
Make a massive down payment
While the recommended sum for your down payment is 20%, no one says you can’t pay more. If you have a substantial amount of money already saved up, then consider paying more upfront. Not only will you avoid paying a PMI, but you’ll also reduce the amount of loan you need to repay.
Make some improvements on your property
Once you’ve moved into your new home, look around for small home upgrades that can boost your home’s value. Start with the yard. Planting a garden, some shrubs or a few trees can do a lot to increase your home’s value. Other useful projects include replacing your front door and insulating the attic.
Make larger payments
Pay a larger amount of money for your mortgage. Ensure that your payment is paid to your principal amount and check your monthly installments. Try boosting your monthly payment into an amount that’s equivalent to a twelfth installment.
Watching your equity grow can leave you with a great feeling of satisfaction, especially when your home becomes yours finally. Follow these strategies to reduce your loan and improve your property to build your equity quickly.