Source: The Motley Fool —
Mortgages have gotten expensive. Last year, it was more than possible to sign a 30-year mortgage at under 3%, especially with great credit. Nowadays, you might end up paying somewhere around 6% for a 30-year loan.
Unfortunately, most buyers have no choice but to take out a mortgage to finance a home purchase. This especially applies today, what with home prices being higher than they’ve been in a long time.
But if the idea of having to pay a higher interest rate on a mortgage doesn’t sit well with you, you may be in luck. Contrary to what you may have been led to believe, you’re by no means required to sign a mortgage in the course of buying a home. You can opt to purchase a home in cash and avoid a loan altogether.
Now, you may be thinking, “Great, but where am I going to find the cash to buy a home outright?” And if you’re looking to buy a larger home, you may have no choice but to take out a mortgage. If you’re willing to be flexible, however, and give up some space, you may find that you’re able to purchase a home without borrowing money at all.
