10 Things to Ensure Financing for Your Home
You’ve started looking at homes with a different eye and begin thinking “can I afford that?” or “what can I afford?” While looking is fun, here are ten tips to help you attain the financing you need for the home of your dreams:
- Improve FICO Score.
- Maintain a steady job history.
- Having a 20% down payment is optimal, but you can still make a huge dent with 5%-7% down payment as well.
- Improve debt to income ratio; pay off high interest credit cards.
- Stay within your budget by looking at what you can afford on a monthly basis.
- Shop around for the best interest rate as that really can make a huge difference for your monthly payments.
- Get pre-qualified so you can know how much you can afford; again take into consideration your monthly expenses.
- Apply for a loan that you can afford.
- Start talking to a financial planner to see how you can better save or invest your money.
- Finally, do not apply for credit at least six months before you apply for the loan.