Financially Preparing to Buy a Home.
When preparing to purchase a home, there are many factors that must be taken into consideration. One of the most important factors is financial preparation.
Below are several suggestions to keep in mind when taking steps to purchase a home. Remember, it is never too soon to financially plan.
Strengthen your credit score
A single 30-day late payment could damage a credit score by as many as 100 points, making home ownership expensive despite today’s low mortgage rates. Taking small steps such as paying your bills on time can have a greater impact in the long run.
Get pre-approved for a mortgage
Different mortgage programs require different credit scores. A financial counselor who knows the range of mortgage products available in the market can explain the various programs and how a consumer’s credit score opens the door to one or more different programs. Learn your mortgage options in advance to expedite the home buying process.
Factor in maintenance
There is more to owning a home than the monthly mortgage payment- maintenance needs to be factored into the budget along the utility and commuting costs, which could be very different when renting. Writing a pros and cons list between different locations can help eliminate any doubts.
Taking a closer look at these key numbers will help you determine if you are truly ready for your first home purchase or your next home purchase.
Call me today to learn the steps to buying a home.