Are you financially ready? (Determine what you can afford)
Probably the most important decision is to determine what you can afford. Knowing what house type you can pay for or receive funding towards will also help you narrow the field so you don’t waste precious time touring homes that are out of your reach.
Check out the prices of the homes under your consideration. Negotiate hard to arrive at a comfortable sale compromise with the seller. Make sure the home has all the necessary title documentation. Once you have settled on a price you contact one of NMRC’s primary mortgage lenders for a mortgage. For a full list of these institutions and to access the Uniform Underwriting Standards (UUS) which set out the conditions for borrowing visit the NMRC website at www.nmrc.com.ng
Research and read up all you can about how to get a mortgage so that you are well equipped to speak with the lender. You can even use a mortgage calculator to figure out what you can afford. The lender is to help you determine just how much you can comfortably afford or pay with or without a mortgage loan.
The key factor in figuring how much home you can afford is your debt-to-income ratio. This is the figure lenders use to determine just how much mortgage debt you can handle and the maximum loan amount you will be offered. The law stipulates that your monthly mortgage outlay must not be more than 33 and one-third percent of your monthly income.