You have finally found a suburban area with a distinct urban flair, a place that values the arts and education. Now that you have discovered your haven, being able to purchase a new home in Bethesda, Md., can become a reality sooner than you might have imagined. Armed with the appropriate knowledge and steps to guide you in the right direction, you will be well on your way.

Bethesda New Home

Bethesda, Md., is a suburb that values the urban lifestyle. In downtown Bethesda, you will find modern apartments and condominiums mere steps away from over 200 restaurants, 500 businesses, three theatres, and 20 art galleries. Restaurants are diverse, with cuisines ranging from Afghan to Italian to Persian. You can choose to do your shopping in large, retail chains or unique, independently-owned businesses. With a population of 55,277 in 2000, and with 78.9 percent of residents holding a college degree, this suburb of Washington, D.C., is a steadily growing area with plenty of activities and culture to keep your mind and body thriving. Now that you are ready to find a new home in Bethesda, accomplish your goal with the right information.

Current Market Conditions

Many consider the current real estate market in Bethesda to be a seller’s market; it is true that there are now more potential buyers than there are houses for sale, making the competition for listed properties intense. Yet despite the competition, the hottest market in Montgomery County right now is in Bethesda, and with the help of a great real estate agent, you can find the best home for you. One advantage you have on your side is the latest mortgage loan rates, which have dropped recently in the area as home prices have continued to rise.

Securing a Home Mortgage Loan

Once you have located a licensed real estate agent to help you through the buying process, it is time to look into securing your home mortgage loan. While even the word “mortgage” is daunting to most, you too can understand the basics of this type of loan. All home mortgage loans come in two basic varieties, a fixed-rate mortgage or an adjustable-rate mortgage (ARM):

• Fixed-rate: These mortgages give you a fixed interest rate for the length of your loan. This means the interest rate you are given at the start of your loan will not change during your loan’s repayment period. The length of most mortgages is 30 years, although you can elect to repay your loan in 15 or 20 years, with a lower interest rate, but higher monthly payments.
• ARM: ARMs have interest rates that adjust with the market economy. You may start out with a lower interest rate to begin with, but that rate will rise and fall as market conditions change. This type of mortgage may be ideal for you if you know your salary is going to increase, thus ensuring you will be able to afford any upward fluctuations in your rate.

Once you understand the types of mortgages available to you, you should take a look at your current financial situation. Shop around for the best loan for you, taking into account the amount of monthly payments you will be able to afford now and 15 or 30 years down the road. Once you have shopped around, it is time to apply for your mortgage loan. Now, with the help of your real estate agent, you can successfully carry out your purchase of a new Bethesda home.

By Stephanie Allen

A REALTOR® is a real estate professional who is a member of the National Association of REALTORS®