Page 5 Fall Home Improvement 2025 Lincoln Daily News homebuying market - meaning fewer sellers will list their homes.” In the example given in the previous example, it is important to remember that $750 is only the fee, not the full payment. There will also be an additional payment which is applied to the principal to help pay down the loan. In addition to having trouble even finding homes on the market, higher interest rates can put otherwise affordable homes out of people’s price ranges. With this being the case, it is important to understand all the math as well as the interest rates. To find the interest rate in the above example, you would make 6% a decimal (0.06) and then multiply that number by the principal amount ($150,000). This is how the $9,000 yearly fee was discovered. If you take that amount and divide it by 12, the number of monthly payments made in a year, that gets you the $750 monthly fee. To find the additional amount you would have to pay on the principal, you would take the full principal amount and divide it by the number of monthly payments you would make on your mortgage before it is paid off. For example, there are 360 months in 30 years, so take $150,000 and divide it by 360. That amount is about $416, so in total you would likely be paying $1,166 per month for your house. Be aware, however, that this is only an estimate and is not likely to be your exact payment. You may also elect to have an escrow for combining things like your homeowner’s insurance and property taxes with your mortgage for one easy payment. In this case, the number you get from the process above will be lower than your true monthly payment. The most important thing you can do is sit down with an expert to discuss your individual situation. Someone like a banker can give you all the details you need to know regarding getting a loan. Luckily, LDN was able to get some quotes from Jacob Harnacke, AVP/ Branch Manager at The First National Bank in Tremont, located in New Holland. The first question Harnacke was asked was what is needed when securing a mortgage from a bank. Harnacke gave a very detailed response, starting by writing that most realtors require someone buying a house to be prequalified for a mortgage. Harnacke continued, “for a bank to pre-qualify a potential borrower, they will need a copy of a valid ID, social security number, information on cash available for downpayment, income verification (two years of tax returns/W2’s, two months of pay Continue --
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