Relocate to Wisconsin : Heads up First Time Buyers....You ARE paying somewhere for Everything

 Are you Confused about What is Realistic in this market ?   Do you know what "I am not Paying....(Fill in the blank...) will cost you in the end ?

We recently had a buyer visit our website who later told me via e-mail that they would be putting down 3% and by the way, they weren't paying closng costs or PMI.....hmmmm...sounds like some internet guide "How to Get a Real Bargain in Today's Housing Market" as written by Joe Clueless.

Before you decide what you are and are not paying for....Find out your options.

Did you know that the definition of "closing costs" varies from lender to lender ?

Did  you know that no matter what they are calling them...or where they are putting them...while there may be limited time offers on some of them...you ARE paying for some in some way or another.

If you don't have 20% down..what are your choices ?  The 80/20 2 mortgage options are rapidly disappearing. One reasonable interest rate and one several points higher for the PMI you didn't pay and could have deducted.  You aren't paying closing costs...and so I suppose you believe the lender ads that advertise "no closing costs" ? Then the lender will call them by other names...appraisal fees, credit reports,  title insurance, recording fees, flood certification, underwriting fees, prepaid interest, application fees,...be sure and ask for a truth in lending statement...you may find one lender not charging for one thing and charging thousands for another...there is no uniformity and unless you compare them next to each other...or better yet, have a realtor or someone who is used to looking at these forms "translate" them for you...it becomes a sea of numbers....no PMI and no closing costs ?  Then check out your interest rate....you will be paying that for the life of the loan...and it will be points higher than a lender who spells out the charges.

Sorry....no free lunch...no free closing costs...no PMI without 20% down....Trust an experienced lender who has nothing to gain but your happiness with a great rate and reasonable closing costs....you'll be glad you did.