วันจันทร์ที่ 23 กันยายน พ.ศ. 2562

Why Buy a House With Little or No Money Down?

With the current economic distress it is not easy to acquire a home for a typical American family. And buyers think of the ways on how to own a house that will not need a lot of money ฝากขายคอนโด for down payment. But before you go for this option you have to examine first the problems with buying a home with a low or no down payment.

One strong argument against buying a house with little or no down payment is the fact that in case you can no longer afford the mortgage payments you may end up losing the house. That could happen if you leave your job, get divorced, become disabled or you got sick and have to pay for large medical bills. And that could lead to the foreclosure of your property.

Certainly, if you lose the house, you are out of money even if you did not spend any money for down payment. Perhaps, you have paid for moving in and other closing costs. For sure your credit record will suffer if this happen. And you will obtain personal liability on the mortgage and note. Therefore, buying a house with little or no money down could end up in a big tragedy.

Another powerful argument against low or no down payment is that the lesser you give for down payment, the higher your monthly mortgage payments will be and longer it will take you to own the property. Moreover, if you could make a 20% to 25% down payment, you might get better terms or lower interest rate. These are significant thoughts to ponder on before buying a house with little or no savings. To succeed in buying a house with little savings you must have a secure source of income or a steady job.

Conversely, there are also reasons why we should go for this option. Basically, the argument is that, in our society, the difference between being wealthy and being poor depends whether an individual owns a home or not. For many years, moving to better house is an indication of prosperity for every family. But today many people, rather than continuing to move up the ladder of housing progress, they got stuck in economic disparity and fail to acquire their own home. The reason is that fewer people today can afford to buy real estate property and the worst obstacle they often face is the lack of savings to pay for the down payment and closing costs.


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