Massachusetts has some of the richest history of all of the states in the country. It is home to some of the world’s most renowned vacation spots, such as Cape Cod, and it is home to one of the most hip, culturally advanced cities in the U.S., Boston. Amazing talent in music, theater, and the arts are also prevalent features of this great state, not to mention the phenomenal universities and other educational institutions that are all over the state. With that said, Massachusetts has always been an expensive place to live in. Housing prices have skyrocketed, and they are only going up. This means that many families are forced to live from paycheck-to-paycheck each month just to afford their mortgage payments. Refinancing may be the solution to these families’ financial woes. Refinancing allows homeowners to take out a new loan that is designed to pay off their existing loan. This gives them access to lower interest rates and different loan terms, which could ultimately save them a significant amount of money.
Quick Massachussetts Housing Facts:
- Percent of homeowners in Massachussetts: 73.8%
- Percent of renters in Massachussetts: 26.2%
- Median annual income in Massachussetts: $50,976
- Average credit score in Massachussetts: 703
- Best Massachussetts city to live in: Westwood, MA
- Median Massachussetts home value: $185,700
When to Refinance in Massachussetts
Many Massachusetts residents make the mistake of hastily deciding to refinance their current homes, which results in these individuals losing a lot of money unnecessarily. Too often, individuals end up refinancing in hopes of saving money, but they do not pay attention to the simple conditions that must be present in order for them to experience the most from the benefits that refinancing has to offer. For example, current interest rates must be at least 1.5% to 2% lower than what you are currently paying. In addition, it is important to review the current terms and conditions of your existing loan. Many loans have penalties that charge thousands of dollars for paying the loan off early. Finally, be sure to review the terms and conditions of the refinancing package carefully. There are instances in which individuals overlook the service fees and closing costs associated with their new refinancing package. These fees can amount to a lot of money, which could ultimately offset the entire purpose of refinancing in the first place. Remember, the goal of refinancing is to save you money, and you do not want to end up paying more from a refinancing package than you would have paid with your original mortgage.
How much house can I afford in Massachuttes
Because of the high cost of housing, one of the biggest problems facing Massachusetts’s homebuyers is figuring out how much house you can afford. We have some great mortgage calculators that can help you figure how much home will fit into your monthly budget. If single family homes might be too expensive you might want to consider a condo.
Some things to keep in mind when looking at condos are:
- What are the Home Owners Association (HOA) dues
- How much are taxes
- Do your HOA dues over your home owners insurance
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