First Steps in Buying a Home

Credit:

Depending on the lender, the average minimum credit score is 640. Everyone’s circumstance varies and there are companies I have been able to work with who have provided lending for a score as low as 580. DON”Y COUNT YOURSELF OUT! The only way to know our true timeline is to take the first step and talk to a mortgage advisor. It is best practice is to obtain a pre-approval BEFORE looking at homes, it sets the proper expectations and knowing your numbers are key.  I recommend using a local lender that specializes specifically in mortgages. If you need assistance finding a trusted lender, please let me know and I can provide you with local advisors that I have a great business relationship with.  Should your credit not be where we’d like it to be, NO WORRIES, I can recommend a few specialists in credit repair as well.

What do I need to begin a Pre-Approval ?

I know I’m reiterating but a pre-approval is the absolute best first step to proceed with. You will know your numbers, loan limits, available programs & grants, and there is no cost to you for this very informative and necessary appointment​. Please ask all questions, express any concerns, and follow the steps you are given. This will ensure you remain on the right track.​ To begin the pre-approval process, the lender is going to need:

  • 2 years W-2 and/or 1099
  • 1 Month of recent pay stubs
  • Last 2 years Tax-Returns
  • 2 Months of most recent Bank Statements

After you are pre-approved, it is crucial that you do not make any changes ​without first consulting with your mortgage advisor. This includes but is not limited to:

❏ Quitting or changing career paths

❏ No new financing, not even furniture or opening new credit cards

❏ Avoid cash deposits into your bank account (the lender will be sourcing all funds)

❏ Remain ​transparent;​ when a lender is sourcing funds, they follow the paper trail leading to the source of where the funds came from. Simple and clean = smooth approval process.

Finance and Money for Home Journey Process.

When we have the pre-approval from your advisor (the pre-approval is good for about 3 months), our next step is to begin your home search. When a home is found that you are interested in, the lender is able to run an estimated cost sheet with all applicable costs including your monthly mortgage payment. I can certainly provide an estimated closing cost sheet for you as well and will ensure we stay within the comfortable monthly payments that we would have discussed.
There are a few out-of-pocket costs that begin almost immediately after we have our offer signed and accepted.

 

Please contact me for more information!