As the holidays swirl and the New Year is just around the corner, it’s time to start thinking about your new years resolutions. If buying a home is on your list of 2017 goals, it’s the right time to start creating resolutions that direct you to accomplishing that milestone of home ownership.
Here are some great New Years resolutions to focus on in 2017 to help make your goals a reality in the New Year.
Check and Raise Your Credit Score
Being familiar with your credit score and history is one of the biggest factors mortgage brokers and banks will look at when determining whether or not to lend to you. Starting with a free online credit report provider and analyzing your score is the beginning to finding ways to raise your current credit. If your credit score is lower than you’d like don’t panic. It is always a good time to start taking easy steps to improve your credit.
Tips to Raising Your Credit Score:
- Pay your bills on time
- Pay credit cards down to 1/3 of the high limit each of your credit cards
- Pay off your credit balances every month
Organize the Documents Needed to Purchase a Home
Having the documents and forms need to complete the home buying and mortgage process can help your entire transaction run smoother and also help you get a better sense of where you stand in terms of loan qualifications.
Documents to Start Gather:
- Tax returns for the past two years
- W-2 income statements
- Two most recent pay stubs
- Most recent credit-card statements
- Most recent bank and investment account statements
- Divorce decrees and child support documents
Get a Pre-Approval
A pre-approval means a legitimate financial institution has looked into your financial background and determined what you qualify for, letting real estate brokers and sellers know that you’re the real deal. Regardless of where you stand on the map to homeownership, connecting with a trusted mortgage professional should be at the top. Understanding what steps are needed to get you from point A to point B can provide a sense of ease during this process. More importantly, knowing what your home buying budget is changes the entire buying experience and also gives you leverage to move forward if you do walk into the home of your dreams over the weekend.