Advice For Future Buyers

  1. Protect your Credit Score

    Possibly the most frequent problem that comes across Loan Officers desks is a bad credit score. There are things that you can do to try to raise your credit score such as pay off debt and pay debt on time. Try to get a copy of your credit score once or twice a year to review what is going on with your financial health.

    • Impact of Paying Off Debts
      Start paying off large debts. Another factor lenders look at is your debt to income ratio. Simply put how much debt you have in relation to how much income you make.

  2. Save Money

    Although the down payment is not a requirement for all loans (i.e. VA), most programs do require a down payment and can vary depending on the program. The buyer may also have to come up with some closing costs to help pay for the transaction costs of buying a home if the need be. You will also need money for moving expenses and possibly to fix-up the property.

  3. Analyze your finances

    If you currently rent, analyze how paying a mortgage will fit into your current budget. It’s also a good time to review if there are any parts of your budget that need shoring up or places where you can save more money for your future purchase (see rule 2). Remember, buying a house is a big responsibility.

  4. Set Goals

    It’s a good time for self-reflection for future buyers. Ask yourself: Where do you want to live? How much does it cost to live there? What would your monthly expenses be like when you do move there? When do you want to move there? How much do you want to put down on your house? Each person and each buyer will have different goals. If you set a goal it will lay the foundation for how you will prepare for your future home purchase.