1st Lake Minnetonka Home Buyers’ Guide To Choosing The Right Mortgage

First time home buyers often are befuddled when it comes to choosing the best mortgage package. In addition, there is no guarantee of getting your preferred mortgage loan even if you are working with a mortgage professional. First time homebuyers in Lake Minnetonka must not sign away the loan they qualified for but instead consider a smaller, more affordable loan.

How does this happen? Loan officers will qualify you for a loan based on your income ratio and not necessarily how much you’re prepaid to pay in housing payments each month. If you borrow the entire loan amount that you “qualify” for, it’s likely that your monthly payment will be pushing your monthly budget to the max.

Setting your own limits for the loan will help you resist the temptation to just borrow up to the limit that your loan officers offer s and help you stay within a comfortable housing expense range based on your income level. Here are some more tips for selecting the mortgage for your new home purchase:

1. Know your tax benefits. When selecting the right mortgage for your Lake Minnetonka home, you can ask about the tax benefits. Some loans are ‘interest only’ loans that allows you to subtract the entire cost on your taxes intended for that year. But loans with negative amortization scale won’t permit deduction of interest on the monthly payment.

2. Think long-term. If you’re planning on staying in the home for 30 years or more, you will be a good candidate for a fixed-interest rate loan. While these types of loans may have a slightly higher interest rate than ARM loans and other loan products, they will protect you from changing market conditions. Still, there are some drawbacks of the fixed interest-rate loan. Barron’s Smart Consumer’s Guide to Home Buying points out that the demands of the escrow account associated with the fixed interest-rate loan may cause your payments to increase.

3. Ask about other home payment options. Flexibility in your mortgage loan’s payment can help you maximize your funds. For instance, there are mortgage loans that allow making extra payments toward the principal balance without worrying about a penalty. You may inquire about this type of loan so that you would not be problematic of your debts in the future.

4. Find ways to keep your payments manageable. Keep your payments affordable by setting a limit on your loan amount even if you have been offered a huge amount by the lender. As much as possible, find a low interest rate, long loan term, and the ability to make interest-only payments.

5. Avail yourself of mortgage insurance. Nowadays, majority of people do not have enough resources to pay for down payment. However your down payment can no longer be a problem since it can be provided by mortgage insurance and in some instances, you can even apply for your desired loan without making any kind of down payment.

Alexandria P. Anderson is a Lake Minnetonka real estate agent that helps people to find and purchase Lake Minnetonka homes and properties in the Twin Cities of Minnesota.

Lake Minnetonka Homes

If you’ve spent any time at all around the Twin Cities, Minnesota, you’ve heard about all the gorgeous homes on Lake Minnetonka.  It’s one of the premier areas to reside in the Twin Cities, and with good reason.  Lake Minnetonka lies just minutes from anywhere you need to go in Minneapolis and St. Paul, but it offers the outdoor, land of 10,000 lakes environment that Minnesota is known for.  Lake Minnetonka homes often go hand-in-hand with luxury, pristine settings, and convenience, but that doesn’t mean that ownership for most is out of the question!  With dozens of Lake Minnetonka homes for sale right now, you can find the one that fits your tastes and budget perfectly. There are MANY examples of fine homes for sale on Lake Minnetonka…let’s look at one!  On Shady Oak Road you will find a three bedroom, two bathroom home located right on a lake!  The house sits on a beautiful lot with mature trees abound.  You’ll have 60 feet of sandy shore just steps from your two-story home with charm galore! The property is selling for right at $500,000. That’s right!  You can have a beautiful home amongst trees right on a pristine lake for just $500,000. And that’s just one example of all the homes available. Contact us today for more information!

Lake Minnetonka Real Estate

When you’re in the market for homes on Lake Minnetonka, you can begin your research by reviewing MLS listings and working with a real estate professional who is familiar with the area. Lake Minnetonka is an attractive venue to build or buy a home, and is located just 20 miles west-southwest of Minneapolis and St. Paul. The resort community offers scenic rivers, lakes and streams and several unique attractions rooted in history.

Investing in a Lake Minnetonka property offers several benefits, and the area is growing at a steady pace as more homeowners and renters continue to settle in the area. Lake Minnetonka means ‘Big Waters’ in the native Dakota language, and is home to 110 miles of shoreline and several unique attractions throughout the fishing village. The area was originally settled by Native American tribes, and underwent dramatic changes during its boom years at the turn of the 20^th century. Hotels, luxurious homes and resort-style attractions soon made this fishing village a thriving resort town. Today, Lake Minnetonka has grown to become one of the Midwest’s premier fishing destinations, and boasts several fishing tournaments throughout the year.

The resort community offers plenty of activities for families, singles and retirees, and is one reason why finding Lake Minnetonka homes for sale continues to be a worthwhile endeavor. Local community celebrations and festivals such as the Hopkins’ Raspberry Festival, the annual 4^th of July Celebration, a Lutefiske Eating contest, and live music and entertainment from local acts fill up the average residents’ calendars. Cruises and steamboat rides along Lake Minnetonka are also popular activities for locals and visitors alike, and these are prime opportunities to enjoy the beautiful views of the lake and landscape, take in the classic steamboat experience, and discover Lake Minnetonka’s historical sites.

Unlike many other resort destinations in the Midwest, Lake Minnetonka homes continue to be a popular choice for both new and veteran homeowners, and homes are scattered across several unique communities and small neighborhoods.

If you’re ready to begin your search in the Lake Minnetonka MN real estate, consulting with a real estate professional and reviewing regional MLS listings online can help you track down your ideal property. Some of the available properties are listed online with detailed descriptions, photographs and even virtual tours so you can learn as much as possible about life in Lake Minnetonka and find a home that best suits your needs.