How Does a Mortgage Refinance in Texas Work?

How Does a Mortgage Refinance in Texas Work?

How does a mortgage refinance in Texas work? It’s basically taking out a new loan to pay off the original mortgage. Most often, this is done to use lower interest rates to lower your payment, take cash out, or change the length of the term.

It’s basically the same process as when you got your original loan. You talk to several mortgage companies, trying to get the best rate and terms possible, and compare them against each other. Then take the best offer and put it up against your current loan to make sure it’s an advantage.

If you have managed to improve your credit since the original loan, you will likely get a better loan now, depending on interest rates.

Why Should You Get a Mortgage Refinance in Texas?

There are a lot of different reasons to refinance, and they all depend on your situation.

If you are paying too much for your mortgage every month, you can lower the rate and payment. This works well if rates have dropped since you first signed up, and you can save money on the interest you’ll pay both monthly and over the course of the loan.

If you’re swimming in equity, meaning money paid into the home and rising value of your property, you can cash out a portion from a refi to pay off bills, make a large purchase, or make home improvements or repairs.

If you have an adjustable rate mortgage, or a HELOC, you can change it to a fixed rate in order to avoid market swings and know what your payment will always be.

You can also change the length of your mortgage. Usually, if you opt for a shorter term on your mortgage, you can get a lower interest rate. Dropping the spread down from 30 years to 20 or 15 can save you interest payments on the loan.

How Can You Qualify For a Mortgage Refinance in Texas?

It’s going to be about the same qualifications for a mortgage refinance in Texas that you had for buying the home. The lender will have to look at your:

Credit history and score
Payment history on your existing loan
Income and employment history
Equity in the home
Home’s current value
Other debt obligations

If you have improved these, or have kept them the same and rates are lower, you should qualify for a better loan than what you had previously.

Will a Mortgage Refinance Hurt My Credit?

First, there will be a hard inquiry on your credit, which can drop your score by a few points. If you have multiples of these in a small window, anywhere from 14 to 45 days, they will typically count as one, lessening the total impact. However, shopping again over several months can have a harmful effect, and drop your credit score further.

You can also take a length of credit history hit when your old mortgage is replaced with a new one.

You can also take a hit if you miss payments during the process, so make sure that you keep up with all payments during this time!

If your credit score is on the edge of qualifying, these could be the push that keeps you from getting a better refinance.

Keep it Steady During the Mortgage Refinance Process

Buying big-ticket items during the refinance process or getting unexpected money coming in can affect your ability to get a mortgage refinance in Texas. This can change your debt-to-income ratio and keep you from getting the terms that you are looking for.

While you are completing the mortgage process, don’t make any changes to your lifestyle, like a new job.

Call the best mortgage lender in Texas, John Schutze’s Texas Loan Experts Team in Austin at (512) 775-6820 or visit JohnSchutze.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

John Schutze

John Schutze

John Schutze was born and raised in Austin, TX and graduated from Texas State University with a degree in finance. Beginning his career as a financial advisor, John has a unique perspective when it comes advising his clients on the best mortgage type for their financial plan. With almost 20yrs experience in the mortgage industry, John has helped over 1500 families purchase or refinance their home.

John Schutze

As one of the area’s top mortgage bankers for over 17 years, John Schutze considers his #1 goal to be providing a smooth and predictable mortgage experience for all involved. Named the 2017 Mortgage Professional of the Year by Austin Monthly, John has also been consistently selected for the Austin Business Journal Top Producer List.

The John Schutze Show

Recent Posts

  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender

Texas Home Loan Pre Approval





Why Choose

The John Schutze Team

CUSTOMER SERVICE
Our customer first approach to mortgages is what separates us from all of the other banks and mortgage companies. Our team will walk you through the process to ensure that your loan closes in a very timely manner. Our competition may think our philosophy on face-to-face customer service is excessive but our clients sure do appreciate it.

WE ARE THE EXPERTS
Our team has set the standard in the mortgage industry. We hire only the best in the business. Our knowledge and experience is unmatched. We continue to train and study new mortgage loan programs to make us the best choice for mortgage refinancing and home purchases, debt consolidation, Conventional, FHA, HARP, VA, and Jumbo Loans available.

BETTER HOME LOANS WITH LOWER MORTGAGE RATES
We provide you with several different mortgage loan options to ensure that you find the mortgage loan program that best fits your needs. Because of the volume of mortgage loans our team closes and the great relationships we have forged within our industry, we’re able to offer the most competitive mortgage interest rates to our clients.

WE ARE MORTGAGE LENDERS, NOT MORTGAGE BROKERS
As a direct mortgage lender, our process has been streamlined from start to finish. Having the entire mortgage loan process contained under one roof allows us to quickly and efficiently close your loan. Our ability to use the newest mortgage loan products and underwrite our own files, allows us to approve loans that our competitors can’t.

How Does a Mortgage Refinance in Austin Work?

How Does a Mortgage Refinance in Austin Work?

How does a mortgage refinance in Austin work? It’s basically taking out a new loan to pay off the original mortgage. Most often, this is done to use lower interest rates to lower your payment, take cash out, or change the length of the term.

It’s basically the same process as when you got your original loan. You talk to several mortgage companies, trying to get the best rate and terms possible, and compare them against each other. Then take the best offer and put it up against your current loan to make sure it’s an advantage.

If you have managed to improve your credit since the original loan, you will likely get a better loan now, depending on interest rates.

Why Should You Get a Mortgage Refinance in Austin?

There are a lot of different reasons to refinance, and they all depend on your situation.

If you are paying too much for your mortgage every month, you can lower the rate and payment. This works well if rates have dropped since you first signed up, and you can save money on the interest you’ll pay both monthly and over the course of the loan.

If you’re swimming in equity, meaning money paid into the home and rising value of your property, you can cash out a portion from a refi to pay off bills, make a large purchase, or make home improvements or repairs.

If you have an adjustable rate mortgage, or a HELOC, you can change it to a fixed rate in order to avoid market swings and know what your payment will always be.

You can also change the length of your mortgage. Usually, if you opt for a shorter term on your mortgage, you can get a lower interest rate. Dropping the spread down from 30 years to 20 or 15 can save you interest payments on the loan.

How Can You Qualify For a Mortgage Refinance in Austin?

It’s going to be about the same qualifications for a mortgage refinance in Austin that you had for buying the home. The lender will have to look at your:

Credit history and score
Payment history on your existing loan
Income and employment history
Equity in the home
Home’s current value
Other debt obligations

If you have improved these, or have kept them the same and rates are lower, you should qualify for a better loan than what you had previously.

Will a Mortgage Refinance Hurt My Credit?

First, there will be a hard inquiry on your credit, which can drop your score by a few points. If you have multiples of these in a small window, anywhere from 14 to 45 days, they will typically count as one, lessening the total impact. However, shopping again over several months can have a harmful effect, and drop your credit score further.

You can also take a length of credit history hit when your old mortgage is replaced with a new one.

You can also take a hit if you miss payments during the process, so make sure that you keep up with all payments during this time!

If your credit score is on the edge of qualifying, these could be the push that keeps you from getting a better refinance.

Keep it Steady During the Mortgage Refinance Process

Buying big-ticket items during the refinance process or getting unexpected money coming in can affect your ability to get a mortgage refinance in Austin. This can change your debt-to-income ratio and keep you from getting the terms that you are looking for.

While you are completing the mortgage process, don’t make any changes to your lifestyle, like a new job.

Call the best mortgage lender in Texas, Arien Bowersock’s Texas Loan Experts Team in Austin at (512) 669-8306 or visit BowersockTeam.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

Arien Bowersock

Arien Bowersock

I was born in Lubbock, TX and came to Austin in 1998 to attend the University of Texas. After graduating, I knew I didn’t want to leave Austin. On a whim, I took a job as a loan officer assistant and I haven’t looked back since! With over 15 years in this industry I know this market well. Not only do I help my clients with their mortgage, I assist with all other home buying needs. Whether it’s deciding on the best neighborhood, choosing a realtor, or giving my opinion on a paint color- I am here to help!
  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender





Texas Home Loans & Mortgages

HOME LOAN REFINANCE

Pay Off High Interest Debt and Cash-out Equity In Your Home

FHA HOME LOAN

Flexible Home Mortgage Guidelines With Attractive Rates

HARP HOME LOAN

Refinance Your Current Home Mortgage Without An Appraisal

JUMBO HOME LOAN

Higher-Dollar Home Loans From A Trusted Mortgage Lender

BANK STATEMENT MORTGAGE

Home Mortgage For Business Owners & Self-Employed

What Texas Home Purchase Expenses are Tax Deductible?

What Home Purchase Expenses are Tax Deductible in Texas

Go back to: Mortgage News | Homepage

What Texas Home Purchase Expenses are Tax Deductible?

What Home Purchase Expenses are Tax Deductible in Texas

Making a Texas home purchase is one of the best investments that you can make. It’s the first push on the way to financial independence and building wealth. However, there are also tax incentives that should also be seen as huge advantages. What Texas home purchase expenses are tax deductible?

The two major ways that homeowners can save are on interest expenses and capital appreciation.

Interest expenses on up to $750,000 of mortgage debt can be deducted from homeowners’ income taxes. There is a catch though. When homeowners itemize their deductions, they will pass up the standard deduction, which is $12,400 for individuals or married couples filing individually, $18,650 for head of household and $24,800 for married couples that file jointly.

Capital appreciation is the increase in value of the home. As the home grows in value, these increases are not taxed federally. Homeowners can exclude anywhere up to $250,000 in home appreciation when determining their capital gains.

The mortgage interest deduction is really the most valuable to most homeowners. For homeowners that itemize their deductions, the ability to deduct the interest paid on their home can make a huge difference in their tax burden. Homeowners can claim deductions for any interest that they pay on mortgages for home building, home purchase, or even home improvement loans.

In the new 2018 tax bill, HELOCs and home equity loans lost their tax-deductible status unless they are used for building or making major improvements to the home, making these types of loans far less valuable than a cash-out refinance. For equity debt that can be used for origination or home improvement the limit is $100,000, and any interest on the first $750,000 of mortgage debt on the first mortgage is tax deductible as well.

However, not every dollar of interest paid towards a mortgage can be deducted from your taxes. If your loan is under $750,000, the interest that you pay is typically going to qualify for tax deduction. Anything over that will not be deductible

Use a Texas home purchase to your advantage with these tax breaks.

Call the best mortgage lender in Texas, Arien Bowersock’s Texas Loan Experts Team in Austin at (512) 669-8306 or visit BowersockTeam.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

Arien Bowersock

Arien Bowersock

I was born in Lubbock, TX and came to Austin in 1998 to attend the University of Texas. After graduating, I knew I didn’t want to leave Austin. On a whim, I took a job as a loan officer assistant and I haven’t looked back since! With over 15 years in this industry I know this market well. Not only do I help my clients with their mortgage, I assist with all other home buying needs. Whether it’s deciding on the best neighborhood, choosing a realtor, or giving my opinion on a paint color- I am here to help!
  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender





Texas Home Loans & Mortgages

HOME LOAN REFINANCE

Pay Off High Interest Debt and Cash-out Equity In Your Home

FHA HOME LOAN

Flexible Home Mortgage Guidelines With Attractive Rates

HARP HOME LOAN

Refinance Your Current Home Mortgage Without An Appraisal

JUMBO HOME LOAN

Higher-Dollar Home Loans From A Trusted Mortgage Lender

BANK STATEMENT MORTGAGE

Home Mortgage For Business Owners & Self-Employed

What Austin Home Purchase Expenses are Tax Deductible?

What Home Purchase Expenses are Tax Deductible in Austin

Go back to: Mortgage News | Homepage

What Austin Home Purchase Expenses are Tax Deductible?

What Home Purchase Expenses are Tax Deductible in Austin

Making an Austin home purchase is one of the best investments that you can make. It’s the first push on the way to financial independence and building wealth. However, there are also tax incentives that should also be seen as huge advantages. What Austin home purchase expenses are tax deductible?

The two major ways that homeowners can save are on interest expenses and capital appreciation.

Interest expenses on up to $750,000 of mortgage debt can be deducted from homeowners’ income taxes. There is a catch though. When homeowners itemize their deductions, they will pass up the standard deduction, which is $12,400 for individuals or married couples filing individually, $18,650 for head of household and $24,800 for married couples that file jointly.

Capital appreciation is the increase in value of the home. As the home grows in value, these increases are not taxed federally. Homeowners can exclude anywhere up to $250,000 in home appreciation when determining their capital gains.

The mortgage interest deduction is really the most valuable to most homeowners. For homeowners that itemize their deductions, the ability to deduct the interest paid on their home can make a huge difference in their tax burden. Homeowners can claim deductions for any interest that they pay on mortgages for home building, home purchase, or even home improvement loans.

In the new 2018 tax bill, HELOCs and home equity loans lost their tax-deductible status unless they are used for building or making major improvements to the home, making these types of loans far less valuable than a cash-out refinance. For equity debt that can be used for origination or home improvement the limit is $100,000, and any interest on the first $750,000 of mortgage debt on the first mortgage is tax deductible as well.

However, not every dollar of interest paid towards a mortgage can be deductedfrom your taxes. If your loan is under $750,000, the interest that you pay is typically going to qualify for tax deduction. Anything over that will not be deductible.

Use an Austin home purchase to your advantage with these tax breaks.

Call the best mortgage lender in Texas, John Schutze’s Texas Loan Experts Team in Austin at (512) 775-6820 or visit JohnSchutze.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

John Schutze

John Schutze

John Schutze was born and raised in Austin, TX and graduated from Texas State University with a degree in finance. Beginning his career as a financial advisor, John has a unique perspective when it comes advising his clients on the best mortgage type for their financial plan. With almost 20yrs experience in the mortgage industry, John has helped over 1500 families purchase or refinance their home.

John Schutze

As one of the area’s top mortgage bankers for over 17 years, John Schutze considers his #1 goal to be providing a smooth and predictable mortgage experience for all involved. Named the 2017 Mortgage Professional of the Year by Austin Monthly, John has also been consistently selected for the Austin Business Journal Top Producer List.

The John Schutze Show

Recent Posts

  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender

Texas Home Loan Pre Approval





Why Choose

The John Schutze Team

CUSTOMER SERVICE
Our customer first approach to mortgages is what separates us from all of the other banks and mortgage companies. Our team will walk you through the process to ensure that your loan closes in a very timely manner. Our competition may think our philosophy on face-to-face customer service is excessive but our clients sure do appreciate it.

WE ARE THE EXPERTS
Our team has set the standard in the mortgage industry. We hire only the best in the business. Our knowledge and experience is unmatched. We continue to train and study new mortgage loan programs to make us the best choice for mortgage refinancing and home purchases, debt consolidation, Conventional, FHA, HARP, VA, and Jumbo Loans available.

BETTER HOME LOANS WITH LOWER MORTGAGE RATES
We provide you with several different mortgage loan options to ensure that you find the mortgage loan program that best fits your needs. Because of the volume of mortgage loans our team closes and the great relationships we have forged within our industry, we’re able to offer the most competitive mortgage interest rates to our clients.

WE ARE MORTGAGE LENDERS, NOT MORTGAGE BROKERS
As a direct mortgage lender, our process has been streamlined from start to finish. Having the entire mortgage loan process contained under one roof allows us to quickly and efficiently close your loan. Our ability to use the newest mortgage loan products and underwrite our own files, allows us to approve loans that our competitors can’t.

The Mortgage Refinance For First Responders in Texas

The Mortgage Refinance For First Responders in Texas

First Responders, including firefighters, police officers, EMTs and nurses, put their lives on the line every day on the front lines, in all types of environments. They work in rain and snow, and blistering heat. They provide help to people in natural disasters. They are the people that you want to show up in an emergency to help, so we wanted to help them back with the best mortgage refinance for first responders in Texas.

Our program offers a mortgage refinance for any first responder or healthcare worker in Texas that qualifies, with the added bonus of a free appraisal, a free loan check-up, and a donation to a first-responder related charity.

We love our first responders and health care workers, and have worked to give back to them in as many ways as possible, from donating to first-responder charities to sending them lunch during the current COVID-19 pandemic, where they are even more important than ever.

These heroes have stood in the face of this disease, as well as an untold amount of emergencies, and helped strangers.
A free appraisal is just that for first responders – we pay for the appraisal on their home! Depending on the loan program, this can save borrowers anywhere from $400 to $4500! The appraisal is the step in the mortgage refinance for first responders in Texas where the home’s value is assessed for the purposes of the new mortgage.

We will also work up all of the loan options for a mortgage refinance for first responders in Texas for free. We’ll let you know how much you can save, how much you can take out, or how far you can shorten your mortgage.

This program works across multiple loan platforms. If you want to take cash-out to put in a pool or make repairs on the home, you can qualify. If you want to shorten the length of your loan, use the first responder program. If you just want to reduce your monthly payment, that’s a great way to utilize the mortgage refinance for first responders program in Texas.

So if you are a first responder looking for a mortgage refinance in Texas, use the one that is designed to help you.

Call the best mortgage lender in Texas, Arien Bowersock’s Texas Loan Experts Team in Austin at (512) 669-8306 or visit BowersockTeam.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

Arien Bowersock

Arien Bowersock

I was born in Lubbock, TX and came to Austin in 1998 to attend the University of Texas. After graduating, I knew I didn’t want to leave Austin. On a whim, I took a job as a loan officer assistant and I haven’t looked back since! With over 15 years in this industry I know this market well. Not only do I help my clients with their mortgage, I assist with all other home buying needs. Whether it’s deciding on the best neighborhood, choosing a realtor, or giving my opinion on a paint color- I am here to help!
  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender





Texas Home Loans & Mortgages

HOME LOAN REFINANCE

Pay Off High Interest Debt and Cash-out Equity In Your Home

FHA HOME LOAN

Flexible Home Mortgage Guidelines With Attractive Rates

HARP HOME LOAN

Refinance Your Current Home Mortgage Without An Appraisal

JUMBO HOME LOAN

Higher-Dollar Home Loans From A Trusted Mortgage Lender

BANK STATEMENT MORTGAGE

Home Mortgage For Business Owners & Self-Employed

The Mortgage Refinance For First Responders in Austin

The Mortgage Refinance For First Responders in Austin

First Responders, including firefighters, police officers, EMTs and nurses, put their lives on the line every day on the front lines, in all types of environments. They work in rain and snow, and blistering heat. They provide help to people in natural disasters. They are the people that you want to show up in an emergency to help, so we wanted to help them back with the best mortgage refinance for first responders in Austin.

Our program offers a mortgage refinance for any first responder or healthcare worker in Austin that qualifies, with the added bonus of a free appraisal, a free loan check-up, and a donation to a first-responder related charity.

We love our first responders and health care workers, and have worked to give back to them in as many ways as possible, from donating to first-responder charities to sending them lunch during the current COVID-19 pandemic, where they are even more important than ever.

These heroes have stood in the face of this disease, as well as an untold amount of emergencies, and helped strangers.


A free appraisal is just that for first responders – we pay for the appraisal on their home! Depending on the loan program, this can save borrowers anywhere from $400 to $4500! The appraisal is the step in the mortgage refinance for first responders in Austin where the home’s value is assessed for the purposes of the new mortgage.

We will also work up all of the loan options for a mortgage refinance for first responders in Austin for free. We’ll let you know how much you can save, how much you can take out, or how far you can shorten your mortgage.

This program works across multiple loan platforms. If you want to take cash-out to put in a pool or make repairs on the home, you can qualify. If you want to shorten the length of your loan, use the first responder program. If you just want to reduce your monthly payment, that’s a great way to utilize the mortgage refinance for first responders program in Austin.

So if you are a first responder looking for a mortgage refinance in Austin, use the one that is designed to help you.

Call the best mortgage lender in Texas, John Schutze’s Texas Loan Experts Team in Austin at (512) 775-6820 or visit JohnSchutze.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

John Schutze

John Schutze

John Schutze was born and raised in Austin, TX and graduated from Texas State University with a degree in finance. Beginning his career as a financial advisor, John has a unique perspective when it comes advising his clients on the best mortgage type for their financial plan. With almost 20yrs experience in the mortgage industry, John has helped over 1500 families purchase or refinance their home.

John Schutze

As one of the area’s top mortgage bankers for over 17 years, John Schutze considers his #1 goal to be providing a smooth and predictable mortgage experience for all involved. Named the 2017 Mortgage Professional of the Year by Austin Monthly, John has also been consistently selected for the Austin Business Journal Top Producer List.

The John Schutze Show

Recent Posts

  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender

Texas Home Loan Pre Approval





Why Choose

The John Schutze Team

CUSTOMER SERVICE
Our customer first approach to mortgages is what separates us from all of the other banks and mortgage companies. Our team will walk you through the process to ensure that your loan closes in a very timely manner. Our competition may think our philosophy on face-to-face customer service is excessive but our clients sure do appreciate it.

WE ARE THE EXPERTS
Our team has set the standard in the mortgage industry. We hire only the best in the business. Our knowledge and experience is unmatched. We continue to train and study new mortgage loan programs to make us the best choice for mortgage refinancing and home purchases, debt consolidation, Conventional, FHA, HARP, VA, and Jumbo Loans available.

BETTER HOME LOANS WITH LOWER MORTGAGE RATES
We provide you with several different mortgage loan options to ensure that you find the mortgage loan program that best fits your needs. Because of the volume of mortgage loans our team closes and the great relationships we have forged within our industry, we’re able to offer the most competitive mortgage interest rates to our clients.

WE ARE MORTGAGE LENDERS, NOT MORTGAGE BROKERS
As a direct mortgage lender, our process has been streamlined from start to finish. Having the entire mortgage loan process contained under one roof allows us to quickly and efficiently close your loan. Our ability to use the newest mortgage loan products and underwrite our own files, allows us to approve loans that our competitors can’t.

How to Buy a Home in Austin in a Crowded Market

How to buy a home in Austin in a Crowded Market

Go back to: Mortgage News | Homepage

How to Buy a Home in Austin in a Crowded Market

How to buy a home in Austin in a Crowded Market

Potential homebuyers in the market for a new home this summer are going to be met with lots of competition, and it’s going to be fierce. This market is shaping up to be one of the most competitive in years, with the most prepared buyers getting the homes of their dreams, and the ones that aren’t ready learning a lesson about how to buy a home in Austin in a crowded market.

Well, we thought that we’d help those new home buyers with advice on how to buy a home in Austin so that you can be prepared going into the market to do battle with other potential buyers, and arm yourself with the knowledge that will put you ahead of the crowd.

Save Up Your Money

Before even starting to save towards the house, a great first step is to work on paying off as much debt as you can. Getting rid of high-interest credit cards and nagging student loans can only help you when you’re ready to buy by lowering your debt-to-income ratio, a key barometer of financial health that mortgage companies look at when assessing your ability to buy a house.

You should also try to save anywhere from 3-6 months of expenses for an emergency fund. Why? Well, there’s not going to be a landlord to call when the roof leaks, or you need a new dishwasher or fridge. You have to replace that stuff yourself. So unless you want to go without or live on bread and water, you’ll need those savings.
Now it’s time to put away cash for everything else. You’ll have the down payment, closing costs, and your moving expenses to deal with.

For the down payment, you can put anything from nothing to the full amount down, but typically, mortgages are at 3.5% to 20% for the most popular loan programs. While there are zero down mortgages like the VA or USDA loan, those are not able to be used by every borrower.

FHA loans require a 3.5% down payment, but they also require PMI to be paid every month. Putting down 20% on a conventional mortgage is the best way to avoid paying PMI, so that all of your payments will go towards paying off your loan.
Closing costs are the fees that your lender and title company charge to process the mortgage transaction, and can often be rolled into the mortgage, so while you can pay them upfront, you aren’t required to.

Depending on how far you are moving and how much you’re bringing, your moving costs can vary wildly. Call around to the various moving companies around you to start to gauge how much it will cost you to get moved into your new house, and what you will need to save to do so. You’ll also have to budget for your repairs and updates if you’re planning those as well. Don’t forget about new furniture – if you’re in a condo and moving to a house, you’ll have more rooms to fill.

Get Pre-Approved

Once you’re comfortable enough with your finances to buy a home in Austin, it’s time to get pre-approved for your mortgage. Contacting your mortgage company and having us verify your financial information and submit your loan to preliminary underwriting gives you a preapproval letter, which is what signifies that you are a serious buyer to sellers, and are ready to buy a home in Austin.

This also lets you know how much you can borrow, giving you a shopping budget to find a home in. Knowing that lets you shop for a home you can afford.

The preapproval letter gives you a leg up on the competition. It’s like starting five yards ahead in a forty-yard race against other buyers, and lets you make an offer on a home as soon as you’re ready.

Start Shopping

Now it’s time to grab a real estate agent and get to shopping. Since you know what you can afford, it’s time to get a list of home features that you want to have. If you want a pool, or a big backyard, or a finished basement, go for it!

Just stick to your budget and know the value of what you want. Find out how much it would cost to add improvements after buying the home and compare it to the cost of the home you’re looking at. It may be cheaper to buy a home in Austin and add a pool later.

Make sure that you’re making a good investment. Your real estate agent can help you with making that determination, as long as you hired a good one.

Make sure that you don’t make a hasty decision on the location or the layout of your house. You can’t move your whole house, and you can’t fix a terrible floorplan. This can kill the resale value on your home, because if you don’t love it, why should they?

However, you shouldn’t let fixable issues run you off. So there’s a hot pink bedroom. It’s just paint. You can replace shag carpeting as well. Just remember the old maxim: buy the cheapest house in the most expensive neighborhood. This lets your home grow in value. Remember: the National Association of Realtors says that the average homebuyer takes 10 weeks of shopping before they find their house. It’s not how you shop, it’s what you buy.

Offer Up

Now you’ve found your perfect house in the perfect neighborhood, and you’re ready to submit an offer. Work with your real estate agent to submit an offer. If you end up in a bidding war, don’t go nuts. Make sure that you stay in your comfort zone, price-wise. This is why you got pre-approved for your mortgage, so you can buy a home in Austin with a strong offer.

Remember that the seller wouldn’t be selling if they weren’t prepared to. You both want the transaction to happen, and your real estate agent will help you negotiate.

After your offer is accepted and the house is under contract, you have finished the hardest part of the process to buy a home in Austin. Now you need to work through the contingencies.

Contingencies are the conditions that have to be met in order to put the home purchase through. They let you back out of a sale without forfeiting your deposit if there is an issue. Never skip these, no matter how wildly competitive the market is. They are a huge part of the sale and protection for the purchase.

Part of this process is the home inspection. This is where you have a professional come to the home to ensure that it’s fit for purchase. Inspections can reveal sagging beams, cracked foundations, or other structural issues that would fall on you to repair after the purchase. You have the right to a home inspection – take it!

Many homeowners also take the opportunity to inspect for termites or radon, which are advisable depending on the age and location of the home.

The lender will also require an appraisal, which evaluates the value of the property. This helps keep you from overpaying for a home. If the appraisal is too low, your agent and mortgage company will work to find solutions.

Final Approval

Now it’s time for the final approval. We are going to dig through all of your finances to finalize the loan. It’s very important that you not open credit cards, take on debt, or change jobs during this time, as changes to your financials can keep you from getting the mortgage.

Once you’re approved, it’s time to close on the house!

That’s right, it’s time to sign papers like you’re at an autograph show. Before you move in, you’ll pay the closing costs, prorated property tax, homeowner’s association fees and homeowner’s insurance. You’ll also work through all of the paperwork. As you go, if you see something that doesn’t make sense or you don’t understand, ask! This is the biggest purchase of your life and your name that’s going on the documents, you need to understand the process.

Once you’re done, you have completed the process to buy a home in Austin! Congratulations!

Call the best mortgage lender in Texas, Arien Bowersock’s Texas Loan Experts Team in Austin at (512) 669-8306 or visit BowersockTeam.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

Arien Bowersock

Arien Bowersock

I was born in Lubbock, TX and came to Austin in 1998 to attend the University of Texas. After graduating, I knew I didn’t want to leave Austin. On a whim, I took a job as a loan officer assistant and I haven’t looked back since! With over 15 years in this industry I know this market well. Not only do I help my clients with their mortgage, I assist with all other home buying needs. Whether it’s deciding on the best neighborhood, choosing a realtor, or giving my opinion on a paint color- I am here to help!
  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender





Texas Home Loans & Mortgages

HOME LOAN REFINANCE

Pay Off High Interest Debt and Cash-out Equity In Your Home

FHA HOME LOAN

Flexible Home Mortgage Guidelines With Attractive Rates

HARP HOME LOAN

Refinance Your Current Home Mortgage Without An Appraisal

JUMBO HOME LOAN

Higher-Dollar Home Loans From A Trusted Mortgage Lender

BANK STATEMENT MORTGAGE

Home Mortgage For Business Owners & Self-Employed

How to Buy a Home in Texas in a Crowded Market

How to buy a home in Texas in a Crowded Market

Go back to: Mortgage News | Homepage

How to Buy a Home in Texas in a Crowded Market

How to buy a home in Texas in a Crowded Market

Well, we thought that we’d help those new home buyers with advice on how to buy a home in Texas so that you can be prepared going into the market to do battle with other potential buyers, and arm yourself with the knowledge that will put you ahead of the crowd.

Save Up Your Money

Before even starting to save towards the house, a great first step is to work on paying off as much debt as you can. Getting rid of high-interest credit cards and nagging student loans can only help you when you’re ready to buy by lowering your debt-to-income ratio, a key barometer of financial health that mortgage companies look at when assessing your ability to buy a house.

You should also try to save anywhere from 3-6 months of expenses for an emergency fund. Why? Well, there’s not going to be a landlord to call when the roof leaks, or you need a new dishwasher or fridge. You have to replace that stuff yourself. So unless you want to go without or live on bread and water, you’ll need those savings.
Now it’s time to put away cash for everything else. You’ll have the down payment, closing costs, and your moving expenses to deal with.

For the down payment, you can put anything from nothing to the full amount down, but typically, mortgages are at 3.5% to 20% for the most popular loan programs. While there are zero down mortgages like the VA or USDA loan, those are not able to be used by every borrower.

FHA loans require a 3.5% down payment, but they also require PMI to be paid every month. Putting down 20% on a conventional mortgage is the best way to avoid paying PMI, so that all of your payments will go towards paying off your loan.
Closing costs are the fees that your lender and title company charge to process the mortgage transaction, and can often be rolled into the mortgage, so while you can pay them upfront, you aren’t required to.

Depending on how far you are moving and how much you’re bringing, your moving costs can vary wildly. Call around to the various moving companies around you to start to gauge how much it will cost you to get moved into your new house, and what you will need to save to do so. You’ll also have to budget for your repairs and updates if you’re planning those as well. Don’t forget about new furniture – if you’re in a condo and moving to a house, you’ll have more rooms to fill.

Get Pre-Approved

Once you’re comfortable enough with your finances to buy a home in Texas, it’s time to get pre-approved for your mortgage. Contacting your mortgage company and having us verify your financial information and submit your loan to preliminary underwriting gives you a preapproval letter, which is what signifies that you are a serious buyer to sellers, and are ready to buy a home in Texas.

This also lets you know how much you can borrow, giving you a shopping budget to find a home in. Knowing that lets you shop for a home you can afford.

The preapproval letter gives you a leg up on the competition. It’s like starting five yards ahead in a forty-yard race against other buyers, and lets you make an offer on a home as soon as you’re ready.

Start Shopping

Now it’s time to grab a real estate agent and get to shopping. Since you know what you can afford, it’s time to get a list of home features that you want to have. If you want a pool, or a big backyard, or a finished basement, go for it!

Just stick to your budget and know the value of what you want. Find out how much it would cost to add improvements after buying the home and compare it to the cost of the home you’re looking at. It may be cheaper to buy a home in Texas and add a pool later.

Make sure that you’re making a good investment. Your real estate agent can help you with making that determination, as long as you hired a good one.

Make sure that you don’t make a hasty decision on the location or the layout of your house. You can’t move your whole house, and you can’t fix a terrible floorplan. This can kill the resale value on your home, because if you don’t love it, why should they?

However, you shouldn’t let fixable issues run you off. So there’s a hot pink bedroom. It’s just paint. You can replace shag carpeting as well. Just remember the old maxim: buy the cheapest house in the most expensive neighborhood. This lets your home grow in value. Remember: the National Association of Realtors says that the average homebuyer takes 10 weeks of shopping before they find their house. It’s not how you shop, it’s what you buy.

Offer Up

Now you’ve found your perfect house in the perfect neighborhood, and you’re ready to submit an offer. Work with your real estate agent to submit an offer. If you end up in a bidding war, don’t go nuts. Make sure that you stay in your comfort zone, price-wise. This is why you got pre-approved for your mortgage, so you can buy a home in Texas with a strong offer.

Remember that the seller wouldn’t be selling if they weren’t prepared to. You both want the transaction to happen, and your real estate agent will help you negotiate.

After your offer is accepted and the house is under contract, you have finished the hardest part of the process to buy a home in Texas. Now you need to work through the contingencies.

Contingencies are the conditions that have to be met in order to put the home purchase through. They let you back out of a sale without forfeiting your deposit if there is an issue. Never skip these, no matter how wildly competitive the market is. They are a huge part of the sale and protection for the purchase.

Part of this process is the home inspection. This is where you have a professional come to the home to ensure that it’s fit for purchase. Inspections can reveal sagging beams, cracked foundations, or other structural issues that would fall on you to repair after the purchase. You have the right to a home inspection – take it!

Many homeowners also take the opportunity to inspect for termites or radon, which are advisable depending on the age and location of the home.

The lender will also require an appraisal, which evaluates the value of the property. This helps keep you from overpaying for a home. If the appraisal is too low, your agent and mortgage company will work to find solutions.

Final Approval

Now it’s time for the final approval. We are going to dig through all of your finances to finalize the loan. It’s very important that you not open credit cards, take on debt, or change jobs during this time, as changes to your financials can keep you from getting the mortgage.

Once you’re approved, it’s time to close on the house!

That’s right, it’s time to sign papers like you’re at an autograph show. Before you move in, you’ll pay the closing costs, prorated property tax, homeowner’s association fees and homeowner’s insurance. You’ll also work through all of the paperwork. As you go, if you see something that doesn’t make sense or you don’t understand, ask! This is the biggest purchase of your life and your name that’s going on the documents, you need to understand the process.

Once you’re done, you have completed the process to buy a home in Texas! Congratulations!

Call the best mortgage lender in Texas, John Schutze’s Texas Loan Experts Team in Austin at (512) 775-6820 or visit JohnSchutze.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

John Schutze

John Schutze

John Schutze was born and raised in Austin, TX and graduated from Texas State University with a degree in finance. Beginning his career as a financial advisor, John has a unique perspective when it comes advising his clients on the best mortgage type for their financial plan. With almost 20yrs experience in the mortgage industry, John has helped over 1500 families purchase or refinance their home.

John Schutze

As one of the area’s top mortgage bankers for over 17 years, John Schutze considers his #1 goal to be providing a smooth and predictable mortgage experience for all involved. Named the 2017 Mortgage Professional of the Year by Austin Monthly, John has also been consistently selected for the Austin Business Journal Top Producer List.

The John Schutze Show

Recent Posts

  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender

Texas Home Loan Pre Approval





Why Choose

The John Schutze Team

CUSTOMER SERVICE
Our customer first approach to mortgages is what separates us from all of the other banks and mortgage companies. Our team will walk you through the process to ensure that your loan closes in a very timely manner. Our competition may think our philosophy on face-to-face customer service is excessive but our clients sure do appreciate it.

WE ARE THE EXPERTS
Our team has set the standard in the mortgage industry. We hire only the best in the business. Our knowledge and experience is unmatched. We continue to train and study new mortgage loan programs to make us the best choice for mortgage refinancing and home purchases, debt consolidation, Conventional, FHA, HARP, VA, and Jumbo Loans available.

BETTER HOME LOANS WITH LOWER MORTGAGE RATES
We provide you with several different mortgage loan options to ensure that you find the mortgage loan program that best fits your needs. Because of the volume of mortgage loans our team closes and the great relationships we have forged within our industry, we’re able to offer the most competitive mortgage interest rates to our clients.

WE ARE MORTGAGE LENDERS, NOT MORTGAGE BROKERS
As a direct mortgage lender, our process has been streamlined from start to finish. Having the entire mortgage loan process contained under one roof allows us to quickly and efficiently close your loan. Our ability to use the newest mortgage loan products and underwrite our own files, allows us to approve loans that our competitors can’t.

A Cash-Out Refinance in Austin to Put in a Pool

A Cash-Out Refinance in Austin to Put in a Pool

I don’t know where you are as you read this, but right here, it’s HOT. The only solution for a hot summer is a pool, and with social distancing in place, having your own pool is a game-changer. That’s why a cash-out refinance in Austin to put in a pool is the best choice you can make if you have equity in your home.

A cash-out refinance in Austin takes the equity that you have built in your home by making payments and the home’s value increasing, and lets you take out a new loan against it. You can then take this low-interest money to do anything. Options include paying off credit cards, making large home repairs, and adding new improvements to your home. There is no limit to what you can spend your money on.

With interest rates as low as they have been in years, it’s the perfect time to use that hard-earned cash in your home to turn your home into the neighborhood hotspot with a brand new pool. You’ll be the envy of your block as you swim in your new pool, and you won’t pay as much in interest as you would if you put the project on credit or a loan.

A cash-out refinance in Austin is a great way to both refinance your mortgage and borrow money. There are some caveats though. You want to make sure to keep at least 20% equity in your home for starters. If your home is worth $250,000 and you still owe $150,000, you have $100,000 in home equity, or 40 percent of the value of the home. That leaves you at $50,000 that you can borrow before you get back below that 20% mark and have to include PMI (Private Mortgage Insurance) in the equation.

You’d take out a new loan for $200,000 (the $150,000 that you owe plus $50,000) and at closing, you’d get a check for $50,000 at the close, not including the closing costs.

When market rates have dropped, as they likely have since you bought the home, while your home has risen in value, you can take out more money from your home.

If you use the funds to buy, build or improve a home, you can deduct mortgage interest paid on loan principle up to $1 million for a couple. The best part? When you take out a cash-out refinance in Austin from us, you can skip two full months of mortgage payments!

Call the best mortgage lender in Texas, Arien Bowersock’s Texas Loan Experts Team in Austin at (512) 669-8306 or visit BowersockTeam.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

Arien Bowersock

Arien Bowersock

I was born in Lubbock, TX and came to Austin in 1998 to attend the University of Texas. After graduating, I knew I didn’t want to leave Austin. On a whim, I took a job as a loan officer assistant and I haven’t looked back since! With over 15 years in this industry I know this market well. Not only do I help my clients with their mortgage, I assist with all other home buying needs. Whether it’s deciding on the best neighborhood, choosing a realtor, or giving my opinion on a paint color- I am here to help!
  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender





Texas Home Loans & Mortgages

HOME LOAN REFINANCE

Pay Off High Interest Debt and Cash-out Equity In Your Home

FHA HOME LOAN

Flexible Home Mortgage Guidelines With Attractive Rates

HARP HOME LOAN

Refinance Your Current Home Mortgage Without An Appraisal

JUMBO HOME LOAN

Higher-Dollar Home Loans From A Trusted Mortgage Lender

BANK STATEMENT MORTGAGE

Home Mortgage For Business Owners & Self-Employed

A Cash-Out Refinance in Texas to Put in a Pool

A Cash-Out Refinance in Texas to Put in a Pool

I don’t know where you are as you read this, but right here, it’s HOT. The only solution for a hot summer is a pool, and with social distancing in place, having your own pool is a game-changer. That’s why a cash-out refinance in Texas to put in a pool is the best choice you can make if you have equity in your home.

A cash-out refinance in Texas takes the equity that you have built in your home by making payments and the home’s value increasing, and lets you take out a new loan against it. You can then take this low-interest money to do anything. Options include paying off credit cards, making large home repairs, and adding new improvements to your home. There is no limit to what you can spend your money on.

With interest rates as low as they have been in years, it’s the perfect time to use that hard-earned cash in your home to turn your home into the neighborhood hotspot with a brand new pool. You’ll be the envy of your block as you swim in your new pool, and you won’t pay as much in interest as you would if you put the project on credit or a loan.

A cash-out refinance in Texas is a great way to both refinance your mortgage and borrow money. There are some caveats though. You want to make sure to keep at least 20% equity in your home for starters. If your home is worth $250,000 and you still owe $150,000, you have $100,000 in home equity, or 40 percent of the value of the home. That leaves you at $50,000 that you can borrow before you get back below that 20% mark and have to include PMI (Private Mortgage Insurance) in the equation.

You’d take out a new loan for $200,000 (the $150,000 that you owe plus $50,000) and at closing, you’d get a check for $50,000 at the close, not including the closing costs.

When market rates have dropped, as they likely have since you bought the home, while your home has risen in value, you can take out more money from your home.

If you use the funds to buy, build or improve a home, you can deduct mortgage interest paid on loan principle up to $1 million for a couple. The best part? When you take out a cash-out refinance in Texas from us, you can skip two full months of mortgage payments!

Call the best mortgage lender in Texas, John Schutze’s Texas Loan Experts Team in Austin at (512) 775-6820 or visit JohnSchutze.com to apply now. Texas Loan Experts has the lowest rates on Conventional, FHA, Mortgage Refinances, Jumbo Loans, Debt Consolidation Loans, Rate and Term Refinances, Cash Out Refinances, and HARP Loans. We are also the exclusive home for Hero.Loan VA Mortgages and The Bank Statement Mortgage. We will come to you to close your loan. Nobody gets lower mortgage rates on better loans than Texas Loan Experts.

John Schutze

John Schutze

John Schutze was born and raised in Austin, TX and graduated from Texas State University with a degree in finance. Beginning his career as a financial advisor, John has a unique perspective when it comes advising his clients on the best mortgage type for their financial plan. With almost 20yrs experience in the mortgage industry, John has helped over 1500 families purchase or refinance their home.

John Schutze

As one of the area’s top mortgage bankers for over 17 years, John Schutze considers his #1 goal to be providing a smooth and predictable mortgage experience for all involved. Named the 2017 Mortgage Professional of the Year by Austin Monthly, John has also been consistently selected for the Austin Business Journal Top Producer List.

The John Schutze Show

Recent Posts

  • Close your loan in as little as 14-days
  • Day 1 Certainty simplifies the process
  • Customer service no one can match

How Can We Help You?

Texas Mortgage Lender

Texas Home Loan Pre Approval





Why Choose

The John Schutze Team

CUSTOMER SERVICE
Our customer first approach to mortgages is what separates us from all of the other banks and mortgage companies. Our team will walk you through the process to ensure that your loan closes in a very timely manner. Our competition may think our philosophy on face-to-face customer service is excessive but our clients sure do appreciate it.

WE ARE THE EXPERTS
Our team has set the standard in the mortgage industry. We hire only the best in the business. Our knowledge and experience is unmatched. We continue to train and study new mortgage loan programs to make us the best choice for mortgage refinancing and home purchases, debt consolidation, Conventional, FHA, HARP, VA, and Jumbo Loans available.

BETTER HOME LOANS WITH LOWER MORTGAGE RATES
We provide you with several different mortgage loan options to ensure that you find the mortgage loan program that best fits your needs. Because of the volume of mortgage loans our team closes and the great relationships we have forged within our industry, we’re able to offer the most competitive mortgage interest rates to our clients.

WE ARE MORTGAGE LENDERS, NOT MORTGAGE BROKERS
As a direct mortgage lender, our process has been streamlined from start to finish. Having the entire mortgage loan process contained under one roof allows us to quickly and efficiently close your loan. Our ability to use the newest mortgage loan products and underwrite our own files, allows us to approve loans that our competitors can’t.