Credit cards often destroy credit more than they build it. They are too easy to use and fall under the spell of the ‘minimum required payment.’ If you’re thinking of buying a home soon, you need to maximize your credit score, which in some cases means building a credit score.
Rather than relying on credit cards, try these unconventional methods.
There are a few key players in your home buying process that could make or break your experience. Along with your mortgage broker (who is the key to your financing), your realtor is the next most important player.
Before you choose just any real estate agent to assist you, consider asking these questions to make sure he/she is a good fit.
There’s one factor that stands between you and your dream home – a pre-approval. Most sellers won’t accept a bid without it. That’s right, you could lose the bid on your dream home if you don’t secure a pre-approval first.
That’s not the only reason – we’ve got 5 total reasons why getting pre-approved is the key to buying your dream home.
You hear all the time that you need a 20 percent down payment or you pay PMI (Private Mortgage Insurance). But, that’s not always the case. There are a few ‘sneaky’ ways around it, helping you save money monthly and over the life of the loan.
If you’re thinking of buying a house in the next 6 – 12 months, it’s time to prepare your finances. Getting a mortgage is easy when you have your finances in order. The more you prepare now, the easier it will be and the better terms you’ll get because you’ll have exactly what lenders need.
You’ve found a home and executed a contract – congratulations; you’ve done the hardest part! Now that you’re in the underwriting process, it’s time to know what to expect on the closing day. The process goes faster than you think, so the more you prepare now, the better off you’ll be when you get to the closing.
With millions of Americans still unemployed or furloughed, lenders deal with job loss and income changes daily. If you’re in the middle of the mortgage process and you lose your job, lose hours, or get furloughed, you may think you’ve lost your approval.
Fortunately, this isn’t always the case. It depends on your situation, though. We’ve covered the most common situations below.
Thinking about buying your first home is exciting and overwhelming at the same time. It’s a whole new world when compared to renting. You own your home, can do what you want to it (within reason), and are responsible for all expenses including maintenance, repairs, taxes, and insurance, along with the mortgage payment.
How do you know when you’re ready to take the leap? Here’s what we think.
Saving for a down payment is often the largest hurdle first-time homebuyers face. Many assume they need 20 percent down (which isn’t true) or just don’t have enough for even the minimum down payment. Fortunately, many loan programs allow mortgage down payment gifts, but only if you follow the rules.
You found your dream home – congratulations! You’re in the middle of underwriting and can’t wait to hear the words ‘you’re clear to close.’ Even those words, though, mean nothing until the ink is on the paper and unfortunately, things can go wrong between underwriting and closing if you aren’t careful.
Avoid these common mistakes and you’ll close your loan just like you hoped.
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