Luckily for consumers, it’s easier
now than ever before to buy a home. But even
though lenders are more willing to take risks on you,
you still
have to be prepared for the big
event.
First, you should begin well in
advance saving up for your down payment. Pay off
credit card debt and make sure your payments are
timely. You want your credit history to
shine.
Second and third, make sure
you polish your installment loans over any other debt
you have built up. Lenders will want to know more
about how seriously you take your car or student loan
than your retail store cards. You should try
harder to pay down your debt than saving up for a larger
down payment. At least this way, the interest
you’ll be paying will be tax deductible.
Fourth, if you’re planning on
building up a lot of debt over the next several months,
such as buying a new car or paying for your daughter’s
college tuition, get the mortgage first! The more
inquiries you have, the lower your credit
score.
Disclaimer: The information
provided in this site is not legal advice, but general
information on financial issues commonly encountered. We
shall not be liable for any errors in the content or for
any actions taken in reliance thereon. Please consult
your financial
advisor.
