Use Your Tax Return As A Downpayment

Dated: 02/06/2014

Views: 688

Tax time is here. I know taxes are "due" in April, but all the 1099's, 1098's, w-2's and whatchamacallits have been sent out and so you are free to file your taxes anytime now. 

When you meet with a lender to get qualified for a home loan, they look at your income to see how much of a monthly payment you can support. This is a function of your ongoing, regular income. But additionally, there is the factor of a downpayment. The lump sum you bring in to purchase a home in combination with your new loan. 
The more you bring in as a downpayment, the more options you have. You can qualify for different loan products. Cancel the Private Mortgage Insurance. Decrease the overall interest rate by "buying down points."
If you've been saving up for a downpayment, that's perfect. But don't forget that tax return time is a chance to get your hands on a one time lump sum. Often if folks don't have a plan in mind, that cash just sort of disappears on soon to be forgotten impulse items. Before you get it in your hands, decide where you want that money to go and stick to it. If you are close to purchasing a home, that could be the last little push you need to put you in the best position possible with your new home. 
Blog author image

Gavin McCaleb

Gavin has lived in Boise for over 20 years. In 2003 he got his start in real estate as an investor and since then he has personally bought and sold over 100 houses. He got licensed in 2009 and is now....

Want to Advertise on this Site?

Latest Blog Posts

2018 Boise Spring Parade Of Homes Preview

Here's a quick peek at this year's 40 participating homes. From entry-level homes to high-end luxury properties, there is something for everyone! So whether you are looking to build your own home

Read More

2018 Spring Parade Of Home Info

2018 Boise Spring Parade of Homes is here!  What: Local builders showoff the latest in design and new construction technology.  Enjoy over a dozen gorgeous homes ready for your

Read More

CPR Credit Repair Idaho Shar Helton Chatting Credit Repair

CPR Credit Repair Idaho - Shar Helton Chatting Credit Repair!Hey guys!  Here we discuss another great and very important topic, Credit Repair. Shar Helton, Credit Expert with CPR- Credit

Read More

Great Meridian Location Close To Everything 1387 White Sands Meridian MLS 9868864

Great Meridian location close to everything!1387 White Sands, Meridian – MLS #9868864Great Meridian location close to shopping, schools, and the outdoors. This home has brand new carpet (w

Read More