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    How to Spend This Year’s Tax Refund!

    It’s Tax Season… Use Your Refund to Jump Start Your Down Payment Savings!

    It's Tax Season… Use Your Refund to Jump Start Your Down Payment Savings! | MyKCM

    According to data released by the Internal Revenue Service (IRS), Americans can expect an estimated average refund of $2,840 this year when filing their taxes. This is down slightly from the average refund of $2,895, last year.

    Tax refunds are often thought of as ‘extra money’ that can be used toward larger goals; for anyone looking to buy a home in 2018, this can be a great jump start toward a down payment!

    The map below shows the average tax refund Americans received last year by state. (The refunds received for the 2017 tax year should continue to reflect these numbers as the new tax code will go into effect for 2018 tax filings.)

    It's Tax Season… Use Your Refund to Jump Start Your Down Payment Savings! | MyKCM

    Many first-time buyers believe that a 20% down payment is required to qualify for a mortgage. Programs from the Federal Housing Authority, Freddie Mac, and Fannie Mae all allow for down payments as low as 3%, with Veterans Affairs Loans allowing many veterans to purchase a home with 0% down.

    If you started your down payment savings with your tax refund check this year, how close would you be to a 3% down payment?

    The map below shows what percentage of a 3% down payment is covered by the average tax refund by taking into account the median price of homes sold by state.

    It's Tax Season… Use Your Refund to Jump Start Your Down Payment Savings! | MyKCM

     

    The darker the blue, the closer your tax refund gets you to homeownership! For those in Alabama looking to purchase their first homes, their tax refund could potentially get them 69% closer to that dream!

    Bottom Line

    Saving for a down payment can seem like a daunting task. But the more you know about what’s required, the more prepared you can be to make the best decision for you and your family! This tax season, your refund could be your key to homeownership!

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    Ryan

    I live in the best place on Earth. I was raised here in the beautiful mountains of Western North Carolina, which I am proud to call my home. I spend my free time exploring the great outdoors and I have found there is always a surprise, opportunity, or adventure around the corner. Through my adventures I have learned that sometimes we need the help of a guide to find what we want. Whether you are a first time home buyer, experienced investor, or anywhere in between, I have the perseverance and determination to help. My goal is to guide you through the experience. I will spend the time and effort you require to make the experience not only enjoyable but memorable as well. My mission is simple: To lead my clients through the real estate process by anticipating their needs and exceeding their expectations. Let the journey begin!

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