Thursday, January 9, 2020 / by Jordana Tobel
If it's finally time to put your rental days behind you, or perhaps you are selling your current home and looking for a new one, it's never too early to start planning.
Here are 5 tips to get ready for your purchase (if you prefer, watch the video version of this post here.):
1. Stay on top of your credit.
This is the number banks will look at to determine whether you are credit worthy and it dictates the rate you will be charged by the bank. The higher your credit score, the lower your interest rate—and that’s what you’re going for. Get a free copy of yours at AnnualCreditReport.com to see where you stand. AnnualCreditReport.com is the only source for free credit reports, every 12 months, authorized by federal law. Once you have your report, check for mistakes! It is very common to have mistakes and you can contact the credit bureaus directly to correct an error.
2. Figure out how much home you can afford.
You can look online for a mortgage calculator to get a general idea of what can afford. I recommend getting an official estimate which you can do by following my next step:
3. Find a mortgage lender & get pre-approved.
You should speak to a lender early in the process so you are ready to make an offer when you find the right house. If you don't know any lenders, we can recommend one. A pre-approval is a document that shows a seller that are qualified to buy their house.
4. Start saving!
Not only do you need to start saving for your down payment, but I also recommend saving for possible repairs or work you want to do on the house you purchase. There are moving costs as well as simple costs like turning on utilities and more. Make sure you have the cash you need saved up.
5. Last but not least, find a real estate agent.
There is no reason to go it alone. Work with a professional to guide you through the process. There are many steps and lots of things that can go wrong. An experienced agent will be able to help you navigate the process in a way that is stress-free. Here at Premier Listings, our agents are trained to negotiate on your behalf, protect your interests and make sure the transaction goes smoothly.
Feel free to email me directly with any real estate question at: firstname.lastname@example.org. I look forward to hearing from you!