People find it really hard these days to save a deposit. With cost of renting and buying a brand new home going neck to neck, it can be daunting to come up with a decent sized deposit.
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​The US median sale price for home is $234,000.For a VA loan you won’t require any initial deposit, while for FHA, the requirement is 3.5% .In Conventional loan, you might require 5%, 10% or 15% down payment. But you need to have a good FICO score to qualify for 5% down payment. But all three will involve PMI. 20% down payment will not require any PMI.
​Here are some ways you can save up for a mortgage deposit.

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​To make the best of the upfront deposit i.e. down payment, start saving early.  You will be considered in less risk in the eyes of lenders if you are able to put a good down payment. This will give you access to cheaper deals. Create a monthly budget and stick to it. Make a print of all your expenses and check mark items in the listing. 
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​Creating a dedicated saving account for home is one of the best ways to keep a check on your savings. Because you can also be fooled by the number of zeros in your bank account. You may get a wrong idea that you are on track with your savings plan. This quarantine strategy helps off-limit spending by allocation of savings.

​If you get a tax refund or a nice bonus on your salary slip… don’t get tempted. This extra cash isn’t for spending. Take this as an opportunity to make gains on your savings for your down-payment. After all you need every bit of cash to work through the savings process. Take these windfalls as a blessing.
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​If you are single or renting space more than your requirements then you can save a lot of cash by moving into a small space. This relocation is a smart move and will definitely help you keep pace with your deposit plan.
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​Take every opportunity out of the work or put extra hours to boost your savings. Please make sure that you are eligible to put some extra hours. These extra hours of sweating will reap benefits down the road.
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​401k, which is employer sponsored, is good but investing in the home is also a long-term benefit. Contribution from the retirement plan can be capped to make up for the down payment and is also an investment worth consideration.
You can also make use of your retirement savings in your individual retirement account to fund the house purchase. You may be eligible for $10,000 without penalties from your retirement fund. 
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​Make sure that you keep your friends and family members aware that you are saving money. Give them a cue whenever possible that you are sticking with a strict saving behavior. In this way, people will remain informed and you will get away with invitations to happy hours or unnecessary weekend shopping gatherings.

It’s always disappointing when a lender rejects your loan application. Here are 6 tips to get approval for a mortgage loan:
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​It is very important for the borrowers to pull their credit reports and order the credit score. Most of the borrowers do not request or try to know their credit scores thinking that they would have a high enough credit score to quality for the loan. Application will not be refused if credit score is high.
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Chances of mortgage loan approval will reduce if you go to your lender without cash. They often require a down payment after the approval of mortgage loan. Amount of down payment varies respect to several factors like type of lender and the loan. On average, around 3.5% down payment is required, but it can be more or less depending on the above mentioned factors. So, cash savings play an important role getting you over the board including the incurrence of some loan arrangement expenses like application fee, credit report fee etc.

​Lenders are pretty much keen to know that you’re doing a good job as a security that you would be able to pay all mortgage payments on time. Doing a low paying job or quitting it will greatly affect your chances of approving the mortgage loan request as your income status will change and the lender will not feel comfortable proceeding with the loan request.
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​Lenders are pretty much concerned about how you’re dealing with your debts. If you have a lot of debts running, chances of mortgage loan request approval will be low depending on the amounts of debts you’ve taken. Lenders often evaluate your debt to net income ratio before the approval of loan request. High debt to net income ratio means you have taken a lot of debt with respect the income you are earning, your chances for the approval will significantly reduce as lenders will not prefer you as you might not be able to pay off loan installments in future if the business faces problems. So simply, the less the level of debt, higher will be the chances for mortgage loan request approval.
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If you’re planning to bid on a house that you can’t afford or you can’t spend much or pay interest is truly unprofessionally and equivalent to wastage of time and money. It is important for you to choose houses that you love but can’t afford. The simplest process to get pre-approved is to contact a mortgage lender with the submission of all required information. It includes everything like the interest rate and the total amount you can afford for this mortgage. Your mortgage will immediately start once the lender accepts your bid.

​Lenders are not much interested how much you spend for the mortgage, they are rather interested in how much you can payback based on your credit and income reports. You can purchase a more expensive house than your budget but you need to be smart enough and keep all the expenses limited.

Get your tax records in order now.
Dig up and organize all the receipts you may need to claim your tax deductions. Review your 2015 income tax return and any relevant records you will need to reference when filing your 2016 return.

Set aside some money now.
Since tax refund delays are expected, you certainly don't want to be shorthanded financially when you'd normally expect to receive a nice refund check. So, set aside a small portion of your income now so that you'll be prepared to handle any bills or expenses in the spring while waiting for your tax refund.
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Consider working with a professional.
Because of the impending changes to filing deadlines, it's often best to put your tax-filing needs into the hands of an experienced professional accountant. Not only will this guarantee that you'll meet every deadline, but also you'll know that you're taking full advantage of all the tax breaks you qualify for to significantly reduce your tax liability.

Decide where and how you will file your taxes and know your free options.

Unless you know your return is going to be complicated this year, paying someone to file a tax return should always be a last resort. Decide whether you’d rather file online or in person, and then check out these free filing options:

• Use Free File on IRS.gov– This free software walks you through a Q&A format to help prepare your return and claim every credit and deduction for which you may be eligible.
• Try the Free File Fillable Forms– If you’re comfortable preparing your own returns, this option is for you! It allows you to file electronically using online versions of IRS paper forms.
• Visit a free tax preparation site– If your total household income is less than $54,000 a year, you can seek free tax prep at one of thousands of Volunteer Income Tax Assistance (VITA), Military Volunteer Income Tax Assistance (M-VITA), and Tax Counseling for the Elderly (TCE) sites. To locate the nearest site, you can search online or call the IRS at 800-906-9887.

Remember you may have deductions coming your way.   Make sure you have all your closing docs, insurance costs, title docs, and all costs you incurred with you, when you Visit your local Accountant and or Tax Consultant.

If you were a client of Mortgage Market Corp., we are here to help you!   Give us a call, as we have all your statements and docs scanned and ready for delivery for all our clients!  Just another way we serve you and your family, to show we care.

Give us a call @ 630-529-8686 and your email will be on its way!
Mortgage Market Corp is here to help!
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​Example of a $200,000.00 mortgage on a 30yr fixed the monthly mip would have been $141.67 per month and on the new monthly MIP it is going to be $100.00 that’s a savings of over $40.00 per month or nearly $480.00 a year.