Navigating the
Current Housing

June 14, 2023

The housing market is an ever-changing and complex system that can be challenging to navigate, especially in today’s climate and while you're trying to secure a mortgage and purchase a new home.

With rising interest rates and home prices, it’s essential to approach the homebuying process with careful consideration and planning. As a community bank offering mortgage loan options, we understand the importance of affordability combined with financial security when purchasing a home. 

Below, we’ve outlined our top five tips and tricks for navigating today’s housing market and ensuring the affordability of your new home.


Determine Your Budget and Stick to It

Before you begin the homebuying process, it’s crucial to determine your budget and stick to it. This means taking a comprehensive look at your finances, including your income, expenses, and debt. From there, you can determine how much you can afford to spend on a monthly mortgage payment and how much you can afford to put down on a home. Remember, just because you qualify for a larger mortgage doesn’t mean you should take it. Stick to your budget to ensure long-term affordability.


Get Pre-Approved for a Mortgage

Getting pre-approved for a mortgage is a crucial step in the homebuying process and is one that can set you apart from other buyers. Pre-approval gives you a clear understanding of how much you can afford to spend on a home and can help you stand out in a competitive housing market. A pre-approval letter also shows sellers that you are serious about purchasing a home, have the financial means to do so, and have already taken the necessary initial steps in the process. 

Here at Newton Federal, we’re happy to help you get pre-approved for a mortgage and answer any questions you may have about the process and what you can expect. We are also here to help address any concerns you may have before, during, and after closing.


Work with a Real Estate Agent

Working with a reputable real estate agent can make a big difference in navigating today’s housing market. An experienced agent can help you find homes that meet your needs, desires, and budget; negotiate on your behalf; and provide valuable insight into the local market and current conditions. They can also connect you with other professionals, such as home inspectors and attorneys, to ensure a smooth and successful homebuying process.


Consider all the Costs

When purchasing a home, it’s essential to consider all of the costs involved, not just the monthly mortgage payment. Other expenses to consider include property taxes, insurance, closing costs, repairs, utilities, and maintenance costs. Be sure to factor these costs into your budget to ensure you can afford your new home long-term.


Choose the Right Mortgage

Choosing the right mortgage is crucial to ensuring the affordability of your new home. We offer a variety of mortgage products to meet our customer’s needs and we understand that each customer’s needs will be unique to their situation. Our loan officer can help you choose the right mortgage for your budget and financial goals.

Look, we get it. Navigating today’s housing market can be challenging, stressful, and even scary; but with careful planning, the right tools and resources, and the right team on your side; it is possible to secure a mortgage and purchase an affordable new home. 

Our team at Newton Federal has made it our mission to understand the needs of our customers and help solve them. We know you, and we know this community. We grew up here, live here, and work here – just like you. We’re here to help you every step of the way. Contact us today to learn more about our mortgage products and how we can help you achieve your dream of homeownership.