I met Jared and YeChan for the first time at my monthly Home Buying 101 classes. I remember talking to them before class started to introduce myself and get to know them a bit better, and after class, I sat down with them and dove deeper into what they were wanting and when they were thinking about purchasing their first home.
Shortly after meeting them, they got pre-approved and we met for a couple of Discovery Days to explore neighborhoods and lays of homes. They decided they wanted a Single Family Home that they could grow into and gain equity over time. It was important for them to have an office space, and a guest bedroom for friends and family.
They were in no rush to purchase, and had recently moved to Colorado, but knew that they eventually wanted to purchase a Single Family Home. After six months of building our relationship, preparing, and touring homes, we found the one! Jared and YeChan actually broke their lease early - after looking at the numbers, it made more sense for them to pay $3,300 to break their lease instead of continuing to rent. We planned strategically based on the market, interest rates, and seasonality.
Undoubtedly, after trusting me and the process, we negotiated nearly $29,000 in seller credits, and used this to cover their closing costs and buy down their interest rate permanently to nearly 6.6% The $3,300 lease break fee was made up in equity, along with being able to negotiate an impressive amount of seller concessions to make it all make sense. Their previous rent was about $3,000 and their current payment for the next 12 months will also be $3,000!
Their previous rent was $3,000
Year one mortgage payment $3,000
Year two mortgage payment $3,300
Year three + $3,500 (unless we refinance) 6.6%
Congratulations on becoming first time home owners! I am over the moon proud of you guys, and excited for this next chapter of your life!