A couple week’s ago we went over the Don’ts while preparing for a mortgage.  This week I want to give you some Do’s that will make preparing for a mortgage that much easier.  The main objective to preparing is to make sure everything goes smoothly when you need to be approved.  So we have put together some DO’s that you can follow in order to make it easier to get approved when the time comes.

First, Start saving money. 

This needs to be done by any means possible.  Whether you cut spending somewhere, sell things, get a second job, money needs to be saved. Depending on what loan you do, there is going to be inspection fees, earnest money and some will need a down payment. 

Second, pick the right Realtor and Loan Officer. 

If you wanted to learn to ski you would go to a snowboard instructor would you? No.  If you are wanting a VA Loan you wouldn’t work with someone that doesn’t know the process.  It is extremely important to pick someone that knows what they are doing and can help and educate you throughout the process. 

Third, understand your credit.

Check your credit, check for errors.  Know what is what on your report.  If your credit isn’t correct, you can’t plan on getting a house any time soon.  Having a higher score can help you get lower interest rates. Correct or work on correcting those negative marks, this will bring your score higher. 

Forth, make all payments on time!

From the time you decide to buy a home, to the time you sign your loan docs to close on your home, MAKE ALL YOUR PAYMENTS ON TIME.  This goes hand in hand with understanding your credit.  If you understand your credit you will make payments on time.  Whether it’s rent, credit card, utilities, cell phone, etc. Pay them on time.  This will reflect to a lender that you will be able to handle a mortgage payment. 

There is a lot of things you can do, but the biggest thing we want you to understand is that you need to be smart with your money if you want to be approved for a home loan.  These four tips will help you get there.  If you have any questions about home loans and the process of getting a mortgage, please call us today!