If you are tackling the home buying process for the first time, there are a few things you should know about financing your purchase before you start to look. Your mortgage professional can help.
This may sound obvious, but you don’t want to fall for something beyond your means. You’ll want to know what your credit looks like and what you can afford before you start looking.
You can get free credit reports, but your best bet is to have a licensed mortgage professional run it for you, as the information and scores he or she can pull are often different from the reports you may be able to obtain yourself. Plus, lenders will use only credit reports they pull themselves, so you will need to have them run the report eventually.
Pay Your Bills on Time
It’s amazing the number of buyers who don’t realize the importance of paying bills on time.
Lenders place a lot of importance on your ability to pay bills in a timely manner, especially over the past 12 to 24 months; this recent payment history is most likely to reflect your ability to make monthly mortgage payments.
Never Get Attached
Borrowers often fall in love with a property when they submit an offer, only to find it has been sold to another bidder. It’s usually not their fault; this happens. But especially in the current market, there are lots of homes available; take time with the process and find what’s right for you.