How to Prepare to Buy a House

Buying a house is an exciting time. Make some shrewd and unemotional preparations to keep it happy and lower your stress. For first time home buyers this is especially important.

Some preparations you probably have already made such as saved money for a down payment, established credit with on time payments, maintained a perfect rental or mortgage history, and stable employment. A proof of stability is crucial. The lender comfort level that you can repay your mortgages is based upon it.

Make a list of what you need in a house: three bedrooms or four, one bathroom or two, a big yard or something easy to care for. Consider the type of neighborhood you like: an established neighborhood or a brand new subdivision.

Spend a few Sundays at open houses in neighborhoods that interest you. Make notes about what you see. Keep a list of likes and dislikes. what features met your needs and at the same time appealed emotionally. Couples should make this period a time to resolve differences and make compromises.

Making a connection with a realtor eases the process. First time buyers pick a realtor who loves first time buyers. His experience will be invaluable and he will gladly teach and guide you.

A mortgage broker is another essential connection. Her scrutiny of your credit, income and assets will let you know what you can afford. If you are short on down payment money now is the time to check with parents about giving a gift letter. A mortgage pre-approval from a top lender will open doors for you. With a pre-approval letter, sellers are more likely to accept your offer and negotiate with you.

If your credit has some glitches, a mortgage broker can suggest ways to improve it. Expert guidance on low down payment loans, government programs and tax credits is part of her job.

I hope that you have a long and happy life in your new home.

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