Ah mortgage. It’s part of every adult’s life to face this huge dilemma: to get a mortgage or to not. Of course we all want to get a property that we can call our own, but is it really worth it to get a loan? Or is it much better if you wait it out and save up before you get your dream property?

Waiting out to save can take such a long time and before you know it, you’re old and gray and have no idea how to get your property. That’s the reason why housing loans are there: to help you acquire your property right away and pay it in the long run. You can now enjoy your property right now.

Before you get that important mortgage, we listed down below the things that you have to remember when getting one:

Mortgage 101:

A mortgage is a debt instrument, secured by the collateral of specified real estate property, that the borrower is obliged to pay back with a predetermined set of payments. Mortgages are used by individuals and businesses to make large real estate purchases without paying the entire value of the purchase up front. Over a period of many years, the borrower repays the loan, plus interest, until he/she eventually owns the property free and clear. Mortgages are also known as “liens against property” or “claims on property.” If the borrower stops paying the mortgage, the bank can foreclose.

Things to remember:

How much can you afford?

Review your monthly spending plan to estimate what you can afford to pay for a home, including the mortgage, property taxes, insurance, and monthly maintenance and utilities. Make sure you save for emergencies. Plan ahead to be sure you will be able to afford your monthly payments for several years. Check your credit report to make sure that the information in it is accurate. A higher credit score may help you get a lower interest rate on your mortgage. Use a housing loan calculator so that you can know how much you’re going to pay.

Know the different loan types

A fixed-rate mortgage isn’t right for every homebuyer. Neither is an adjustable-rate mortgage. If you plan to stay put in a home to raise a family, you might consider a 30-year loan. Conversely, if you’re moving in 10 years or less, an adjustable-rate mortgage, or ARM, could better suit you. Interest rates on ARMs are fixed for the first several years of the loan and often start out lower than rates on 30-year fixed loans. There are also jumbo loans, which are typically used to purchase luxury homes

Consult an expert

If you really have no idea on how to get a mortgage then it will be for the better if you consult an expert. Hire a real estate agent or an appraiser to help you get the best deals.

Find the right property

In the end, everything will be all worth it when you find the perfect property to give off your mortgage.