Kenneth Clark

Buying a home with a friend is not automatically a bad idea. In fact, for many people it is one of the smartest ways to break into homeownership when prices are high. The key is doing it the right way from the beginning so the friendship and the finances are both protected.

In this market a seller-paid 2-1 buydown is often one of the best negotiating tools buyers have. It works especially well because: aEURc It lowers your payment when you first move in aEURc It costs the seller less than a price cut aEURc It still allows you to refinance later But the rule is simple: Always buy the house based on the year 3 payment. The first two years are just a bonus.

Evan, this is one of the most common questions homeowners are asking right now, especially anyone who bought in 2020 or 2021 when rates were historically low. I completely understand the hesitation to give up that rate. The honest answer is usually no, you cannot transfer your existing mortgage to a new home If you have a great rate from 2021, the first question I would ask is: Could the current home become a great rental property? Many of those homes actually turn into excellent long-term investments because the payment is so low relative to today's rents. Sometimes the best move is: Keep the low-rate property Let tenants pay it down Buy your next home separately That is how a lot of first-time buyers accidentally become real estate investors.

Trina, this is a really common situation. A lot of buyers are very close to having enough saved, and the question becomes whether tapping a retirement account is a smart bridge or a costly mistake. The good news is, a 401(k) loan is often allowed for a down payment, and in many cases it does not hurt your mortgage qualification the way people think it will. A 401(k) loan for a down payment is not a terrible idea, but it should be used as a short-term bridge, not a habit. If it helps you get into a home sooner without stretching your budget, it can absolutely make sense. The key rule is simple: Make sure the future mortgage payment and the 401(k) repayment together still leave you comfortable each month.