Sunday, April 22, 2018
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Pawleys Island Real Estate Homes
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Adding Insurance and Property Taxes to Your Mortgage

 Before looking for homes for sale in Pawleys Island, remember the expenses on top of the mortgage you are seeking….

 

When you are buying a home in Pawleys Island, the mortgage payment isn’t the only regular expense you will have to consider.  You will also be responsible for paying for your homeowner’s insurance policy as well as the property taxes on your new home.  There are two ways to go about this.  One is to roll them both into your mortgage payment, and pay them monthly along with your mortgage.  The other is to pay them on your own.

 

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You will need to pay property taxes and homeowners insurance on your new home…….don’t let it be a headache!

 

 

 

 

 

 

 

 

 

 

Larger Monthly Payments

 

Adding your insurance and property taxes to that monthly mortgage payment bill means that you will have a higher monthly payment.  If you are already cutting it close on your monthly budget with the mortgage alone, this could make it tougher.  You should keep these two payments in mind when you make up your home buying budget so that you know what you can really afford after paying both of these monthly expenses.

 

Lump Sum Payments

 

Both property taxes and homeowner’s insurance can be paid on their own directly.  This is usually either a yearly payment of a large lump sum or a different sort of payment plan set up by the insurance company or the county.  Coming up with all of that money at once can be tough, so many people opt for payment plans instead.

 

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Payment plans for your extra home expenses are usually the best idea to avoid scrounging for a lump sum payment.

 

 

 

 

 

 

 

 

 

Simplifying Your Life

 

Most people choose to roll the payments into the mortgage because it is much simpler.  You have fewer monthly payments to think about and don’t have to come up with any large lump sums.  Even if you pay them on your own, in most cases it still winds up being a monthly payment, so it generally makes sense to combine it with the mortgage payment and have a lot less to think about each month.

 

The person handling your mortgage in Pawleys Island can help you decide what to do about insurance and property taxes.  Usually, the first year’s insurance will be part of the closing costs on your home, since you have to have insurance in place in order to get funding for a mortgage.  Whether or not property taxes are due will likely depend on when they were last paid on that home.  After the initial payment, you can add them to the mortgage payment and not have to think about it again.

 

Melissa Keller, Realtor in Pawleys Island

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Pawleys Island Real Estate Homes