Tag Archives: mortgage

How to Shave Thousands of Dollars off Your Mortgage

Mortgage

Congratulations on purchasing your home. You are now privileged to enjoy the thrills of home repair, maintenance, and occasional renovation. Depending on your mortgage structure, you may be paying off your home for up to thirty years. Luckily Milledgeville State Bank has some tips and tricks to help you reduce your repayment time. Using these three strategies, we’ll show you how to pay off more of your principal to decrease the term of your loan, and lessen your overall interest costs.

Method 1: Making Additional Payments

In addition to your regularly scheduled payments, making extra installments can help you knock down your principal and associated interest. These additional amounts can be paid on the same day as your scheduled portion, or they can be more frequent throughout the month as funds become available. If you find yourself having a surplus in your budget, a great option would be to use those dollars as an additional mortgage payment.

Method 2: Increasing Your Monthly Payments

As you make your mortgage payments each month, create a plan for how much you can add on top of your regular installments. Similar to method two, these subsequent funds will continue to help you pay down your principal amount, and lessen the amount of interest owed for the life of the loan.

Method 3: Making One Lump Payment

Sometimes if you’re refinancing or purchasing a home, you may be trading an old mortgage for a new one. In this case, we recommend making one large installment after closing. This not only pays off a large portion of your loan but brings your overall interest accumulation down as well.

Owning a home is an exciting and well-earned milestone, however, the additional costs of ownership can raise questions. If you’re curious about the most efficient way to pay down your mortgage, stop in and speak with one of our experienced lenders today.

52-Week Savings Challenge

Savings Challenge

Whether it’s a house, a new vehicle, or other lending options, having a down payment is always a great first step. In this 52-week challenge you will begin saving a little at a time to accumulate $5000 this year! Here’s how it works, every week you deposit a different amount into your savings account. As the weeks go on you begin to build a steady base little by little. At the end of the year you will have saved $5000 if done correctly. You can also add to the numbers shown below if you’d like to save more than $5000. Simply take the additional amount you would like to save, and divide it by 52. Now add that number to each of the deposit amounts for the year and you have your game plan.

Savings Challenge

$5000 is a substantial sum of money that offers endless potential, so here are some ideas to get you started!

Vacation: Take a break and enjoy an exciting new destination with your family! Cruises start at less than $700/person, and a week in Florida typically runs $4000+ for a family of four.

New Vehicle: You can either purchase a used vehicle with the $5000 (or less), or you can use the $5000 to put a down payments on a more expensive vehicle you’ve had your eye on.

Down Payment on a Home: For first time home buyers using FHA loans, a down payment as little as 3.5% may be accepted. With lower closing costs, easier credit qualifications, and gifts allowed towards the home down payment, this $5000 potentially enables you to purchase a $140,000 home.

Wedding: A little creativity may be involved but the celebration can go on! With the largest event expenses being the venue, food, and photographer, finding inventive shortcuts can turn $5000 into the wedding of your dreams!

Start your savings challenge today with a savings account from Milledgeville State Bank! We’re here for all of your financial and lending needs!

Your 5 Step Checklist to Showing Your Home

If you are showing your house soon, go through this checklist to make sure your home is in great condition!

Home buying season is here! Streets across the country are littered with For Sale signs and excited couples have started looking for their next home. As you get ready to show your castle to prospective buyers, there are some steps you want to take to make your mohome look as appealing as possible. Milledgeville State Bank has a few tips to help you get your home ready to show.

De-clutter and deep clean everything. Go through closets, storage areas and the attic to get rid of the things you don’t need. The less stuff you have around, the roomier it will seem. Then go through the house room by room and clean everything well. Having a clean house signals to potential buyers that you have cared for the home and it is in good condition.
Make small fixes. If a buyer sees squeaky floorboards, cracks in woodwork and dingy walls, they will either make a lower offer or insist that everything be fixed before they move in. Don’t leave potential buyers any reason to offer less than what you are asking.
Let fresh air in. People are easily turned off by unpleasant odors. Some of the worst smells you should get rid of are that of tobacco, pets, cooking and musty laundry. Scents that will attract positive attention are baked bread, cinnamon and fresh flowers.
Use natural light. Pull back the curtains and let some sunshine in! Bright, open rooms feel larger and more inviting. It is also beneficial to replace your light bulbs with brighter bulbs to add some extra light.
Neutralize your home. When a prospective buyer is walking through your home, they are trying to envision themselves living there. Take down some of your family photos and personal items. Fresh flowers, a bowl of fruit and fresh batches of cookies are some neutral ways to add a homey touch.

Changing homes is an exciting time! We want to help you make it go as smoothly as possible. If you are looking for a new home and need advice on your mortgage, talk to the lenders at Milledgeville State Bank. We know the area market and can help find the best option for you!

Are You a Smart Home Buyer? Take Our Quiz to Find Out!

Do you think you are a whiz when it comes to the housing market? Take our quiz to find out!

Spring is just around the corner! This means that “For Sale” signs will be popping up left and right. If you are in the market to buy your first home, it is important to be educated on the home-buying process. The more you know, the more money, time and stress you will save. To find out if you are prepared to buy a house, take our quiz!

What matters more for a mortgage: being prequalified or preapproved?
1. Prequalified
2. Preapproved
You can’t use a buyer’s agent when buying a home “For Sale By Owner”.
1. True
2. False
What percentage of the purchase price should you expect to pay for closing costs?
1. 1%
2. 3% to 6%
3. 10%
The title insurance you have to buy to get your own is for your own protection.
1. True
2. False
If you take money from your Roth IRA to purchase your home, you must pay it back before retirement.
1. True
2. False
Even when rates are rising, an adjustable-rate mortgage can still be a good deal for some people.
1. True
2. False
How much will a home inspection usually cost you?
1. $75-$100
2. $300-$400
3. $800-$1,000
Who needs private mortgage insurance?
1. Buyers with a down payment less than 20%
2. Buyers with a down payment more than 20%
3. It’s mandatory for all buyers
If you are buying a condo and the realtor tells you that two other units in the same building sold for $200,000 and $225,000, what should your offer be?
1. You need more information
2. $185,000
3. $200,000
4. $212,500
When you file your federal taxes, what costs can you deduct from your income as a new homeowner?
1. Mortgage interest
2. Property taxes
3. Points paid at settlement
4. All of the above

How did you do? Even if you didn’t fair very well on the quiz, we hope that you have learned more about the process of buying a home so you feel confident moving forward!

Milledgeville State Bank wants to help you make your home-owning dreams come true. Talk with one of our lenders about finding the right mortgage for you today!