Preparing to Buy a Home, Financially

Today more than ever it is important to have a good, stable mortgage. When purchasing a home you are becoming involved in a purchase that will likely be the largest single purchase that you will ever make. It simply makes sense to secure the best possible mortgage that you can find. How should you go about finding this dream mortgage? Well, there are a few things that you can do in preparation to ensure that you get a fair shake when the financing comes in.

Preparation is the key when looking for home financing. The more you know about your financial history the easier this process will become. The first step that you should take is finding out what your credit score is. Aside from the act of purchasing a home, its a good idea to learn as much as you can about your credit. Many people have no idea what their credit score is, it's something that everyone should know about.

The first step is to request your credit report from the credit bureau. Once received, you should go over your report in detail. Check it for any old or out of date items that may be holding your credit back. Make sure that any outstanding items that you have dealt with are removed and anything that you have not dealt with, you should clear up as soon as possible. Having a clear report will make it much easier when you apply for your home financing.

So, your report is clear and you are ready to secure your financing. If you want to make the home buying process much less stressful then you will ask your lender for a full pre-approval. A full pre-approval lets you know an exact dollar figure of what is available to you in terms of financing. This will let you know exactly what you can afford in a home. This simple step can save a lot of heartache when the buying process begins. Nothing is more frustrating than finding a home that you love, only to discover that you cannot secure enough financing to pay for it. The other aspect of pre-approval that is extremely valuable is that fact that a pre-approval lets the seller know that the closing process will quick and easy with no scrambling by the buyer to secure financing at the last minute. If you ensure that these steps are taken care of before you start your shopping, then closing should be a snap.

Bill Ucci is a real estate agent specializing in the Orlando area. Contact Bill for assistance in finding your perfect home in Orlando, Florida

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