Wells Fargo Housing Assignment

WellsFargo Housing Assignment

  1. What are the two benefits listed on the site for being a first time homebuyer?

Thebenefit of been the first time homebuyer is that when one purchaseshomeownership, one automatically becomes a member of the community,as well as experience the security of ownership (Wells Fargo, n.p).Correspondingly, being a member of the community enables anindividual to take control. That is, one can avoid cancellation oflease and increase of rent while creating a home according to his orher needs and tastes. In addition, one has an opportunity to grow theasset from the principal portion while the property value of themortgage increases.

  1. What are the two finance basics you should know? Out of the Finance basics listed on the site, which one is the most important to know in your opinion and why?

Thetwo finance basics that one needs to know in home financing are theinterest rates and loan terms. The interest rate refers thepercentage charged for the loan borrowed. It is based on the currentmarket conditions, down payment, type of mortgage, and credit score.On the other hand, loan term refers to the period of time one need topay off the mortgage balance. According to Wells Fargo (n.p), theshorter the loan term, the higher the mortgage payment per month.Among the two, loan terms is the most important to know. This isbecause it will encourage the client to pay all the arrears on time.

  1. What are two things you can expect during the Home Buying Process?

Thetwo things to expect during home buying process are to be approved asa serious buyer and submit a deposit (Wells Fargo, n.p). Once aclient is approved, he or she gets an opportunity to make an offerand shop confidently. In the meantime, one can make writtennegotiations whereby the two parties have to understand the agreementterms. Finally, the client then submits a “good faith” depositthat illustrates a commitment to the transaction. Then, the contractis then declared legal.

References

WellsFargo. &quotBuy Your First Home.&quot&nbspFirstTime Home Buyer – Buying a House – Wells Fargo.Web. 28 Apr. 2015.&lthttps://www.wellsfargo.com/mortgage/buying-a-house/first-time-home-buyer/&gt.