The views expressed in Economy Matters are not necessarily those of the Federal Reserve Bank of Atlanta or the Federal Reserve System.
Editor's note: Throughout Economy Matters, "Southeast" refers to the six states that, in whole or in part, make up the Sixth Federal Reserve District: Alabama, Florida, Georgia, Louisiana, Mississippi, and Tennessee.
Financial Tips from the Atlanta Fed: Homeownership
May 1 is New Home Owners Day. Whether you are about to take the leap and become a homeowner or it is a future financial goal, you may want to contemplate these factors before you sign on the dotted line of that mortgage contract.
- Consider whether buying or renting is the right option for you at this time. Each person’s circumstances and preferences differ, and only you know the financial and personal factors that are a significant part of this decision. To crunch the numbers, the rent or buy calculator can help with this decision.
- Your financial behaviors can have an impact on the overall amount you will pay for your home loan. Well in advance of the mortgage process, review your credit report for accuracy. Incorrect entries can be fixed, but they may take time to correct. Additionally, you may want to obtain your credit score to understand how the financing options and costs are based on your current score. Remember, a high credit score will generally result in lower interest rates and save you money.
- Perhaps you already own a home and are considering taking out a home equity line of credit to make upgrades or renovations. Take a moment to learn about this financing option and others to understand the potential pros and cons.
The home-buying process can be stressful. Have a little fun by taking a quiz to test your knowledge of some facts about residential real estate.