How to do a financial comparison – Northville home buying tips

How to do a financial comparison – Northville home buying tips

 

 

When buying a home it may take a comparison between the homes.  In this example I will use a piece of Northville real estate and aWest Bloomfield Township home.  When you start making your decision you of course write down what you like and what you don’t like in a home.  But you should also do a financial breakdown.  By doing a financial comparision you may find some surprising differences.

Where the comparisions may differ in prices are

  • association fees – different complexs and subdivisions have different homeowners association fees.  So be sure to include that in your comparision.
  • PMI – You may be choosing between two different price ranges.  On the higher priced house you may not have enough down payment to cover the 20% down.  You may be required to pay PMI because you don’t have the 20% down.  This can be costly, so be sure to include this.
  • homeowners insurance  – different cities have different insurance rates.  Call a local insurance agent to get a quote.  It may make you change your mind.  You may not have realized how bad the crime was.

Here is the info on Both houses.  I just estimated interest rates and the PMI.  The PMI may be higher.

Northville                                       West Bloomfield
purchase price                         224,000                                           300,000 deposit                                     40,000                                             40,000

Association fees                           2220

taxes                                          6008                                               6742

taxes broken down monthly            500                                                  561

loan amount with 60k down       179,200                                           260,000

payment at 5.5% 30 year              1017.48                                           1476.25

monthly taxes                               500                                                  561

homeowners insurance                     70                                                   70

association fee                                                                                    185 PMI                                                                                                   100                                            ______________

_______________                         ________________

Total                                         $1587.48                                  $2392.25

Condos for sale in Wayne County MI

Previous 1-40 of 250 Next
Previous 1-40 of 250 Next

Sure you may love both homes but the financial considerations should over ride your loves.  Sure you love that $300,000 West Bloomfield home.  If you can’t afford the house payment THEN DON’T BUY THE HOUSE.

If it is a major stretch for your financials.  THEN DON’T BUY IT.  I want you to own the house five years from now.  I don’t want you to be house poor.  I want you to enjoy your house.  I hope this break down gives you an idea of how to put together your comparision.

Have a great day!

Search Metro Detroit real estate listings

 

 

 

 

 

 

 

A man can do only what he can do. But if he does that each day he can sleep at night and do it again the next day.”
– Albert Schweitzer

Pontiac Lake waterfront homes for sale in White Lake

8 Home Selling Tips – Northville Real Estate

Sorry I’m not doing your real estate agents work

Sylvan Lake waterfront homes for sale in Waterford Michigan

Lake homes on Blaine Lake Hartland Michigan

Sometimes the best lake homes sell in less than a week.  Click the button below to get the newest lake listings so you do not miss out on the great deals.

Lake Home VIP Club

 

 

Posted in Buyer Tips, First time home buyers, Northville Tagged with:

Search Homes

Untitled

 

The data relating to real estate for sale on this website comes in part from the IDX program of Realcomp. Real estate listings held by brokerage firms other than Keller Williams Realty Commerce Market Center are marked with the IDX logo and detailed information about them includes the name of the listing brokers.


All information deemed reliable but not guaranteed and should be independently verified. All properties are subject to prior sale, change or withdrawal. Neither listing broker(s) nor Keller Williams Realty Commerce Market Center shall be responsible for any typographical errors, misinformation, misprints and shall be held totally harmless. IDX information is provided exclusively for consumers' personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.