Madden Real Estate's Blog

Where to Save for a Down Payment in Fairbanks AK

For homebuyers in Alaska this summer, saving for the down payment is one of the biggest hurdles in front of the finish line. In the past, we've shared how to start saving for the down payment, but you might be wondering where to keep the money.

Below are four options for risk-free accounts in which you can keep your down payment. You may sacrifice return, but you can be assured the money will be there when you need it to purchase your home in Anchorage, Fairbanks, Eagle River, Palmer, Wasilla, or the surrounding areas!

Online savings account
Compare online rates to determine which online savings account is best, but this may be the easiest option for moving around funds. You can track the money easily via online banking and set up transfers in a snap. You also don't need to worry about the bank not being open when you need to pull...

How to Know If You're Ready to Buy a Home in Alaska

With the rising costs of rent in Alaska, it is no longer a smart financial decision for area residents to choose renting over buying. Not to mention, mortgage rates are still historically low!

However, if this is your first time purchasing a home in Alaska, you need to be ready to assume the responsibility of homeownership. Here are four questions to ask yourself to determine if now is the right time for you to buy:

Can you afford the costs?
If you have been saving for a downpayment and other costs over the past few years, you'll be in great shape this summer. You should have enough to cover 20% of the home's purchase price to secure the best mortgage rate and avoid private mortgage insurance (PMI).

It is also wise to be prepared to pay closing costs which can typically range from 2 to 5% of the home's purchase price....