You’re getting ready to make the move, and buy a home for the very first time. This is such an exciting experience, but it can also be a very stressful one! In order to lessen the stress of buying a home, there are some things you should do before even going out to look at homes. Before you find a house you love, you need to know what you can afford so that you don’t end up looking at houses that aren’t even in your price range. Here are some mortgage tips to help you get pre-approved.
Consult with a mortgage lender. Before even looking at homes, you need to select a mortgage lender to use. You will want to interview a couple of lenders before choosing the one that is right for you.You will want to find someone who has worked with first-time buyers before and is familiar with the area in which you live. You can also look online to see if you can find any reviews of the lender.
Be honest. After selecting your lender, you will meet with them to explore your loan options. The key during this meeting is to be completely honest with your lender about your finances. If you are honest, it will make the process a lot easier and a lot quicker.
Complete requests. Along with providing all information to your lender, you also need to complete any tasks that your lender needs you to complete. If your lender requests additional information, you need to provide the additional information, no questions asked. Again, doing this will make the process easier and a lot quicker.
Be prepared. When going into the meeting with your lender, make sure you are prepared, meaning you have all documents that the lender will need to go through the process. You will typically need tax returns, W2s, bank statements, employer names and addresses, and your current landlord’s information. Coming in with all of this information on hand and ready to go will make the process a lot smoother.
Follow this process and your lender will be able to let you know your mortgage approval. After going through this process, make sure you still consider what your budget is and what you are comfortable paying. Don’t feel like you need to use the maximum amount that you qualify for. Take your time when considering your finances and how it will affect your future.