First-Time Homebuyers' Financial Fundamentals
Are you getting ready to buy your first home? If this is the case, one of the first steps you should take is to ensure that you are financially prepared for your purchase. Here are a few of the financial fundamentals you'll need to consider before buying a home.
Improve your credit
Your credit score is one factor in determining which home loan you will qualify for. It also has an effect on your mortgage interest rate. While many factors influence your mortgage application, a higher credit score may result in a lower monthly payment in the long run.
Keeping track of your credit and disputing any errors that appear on your reports.
Making on-time payments on your bills. This includes loan payments and the repayment of any open lines of credit.
Maintaining a low credit card balance. When possible, pay more than your minimum monthly balance.