Getting your mortgage approved is a crucial step in the home buying process. However, plenty of applications go down the drain for a number of key mistakes. Make sure yours don’t by following these tips:
1. Get a cosigner, suggests Investopedia. If your income isn’t enough, the best thing to do is ask for someone you trust to cosign the loan with you. That someone will ask as your guarantor in case you fail with your payments. Make sure you don’t though. If you do, you’re not just causing problems for yourself, you’re causing problems for the friend who agreed to be your cosigner.
2. Bide your time. Certain market conditions can make lending businesses much less generous. So don’t force it. Waiting for a few weeks might just give you the opening you need to find the lending company that approves your mortgage.
3. Go for the least-expensive property. The lower the mortgage you need, the more likely your mortgage will get approved. So they to go for homes that won’t cause a fortune. Something that’s cost-effective but has what you need in a home is the most ideal.
4. Consult a pro. Ask a realtor for help. If you’ve got to find properties well within your ballpark or within a certain limited price range, then realtors will have the contacts and experience to provide you with the best Houston property listings that fit your needs and budget. With a pro, you can count on plenty of help to see you through the house buying process relatively unscathed.
5. Boost your credit history. If your financial condition has changed dramatically, you can improve your credit history by showing how vigilant and consistent you are with your payments. Make sure you never skip or delay a payment. That kind of commitment and consistency can have a positive effect on your credit history.
6. Have your down payment saved and ready, says Bankrate. That’s going to cut down on the amount you need for your mortgage. While it’s ideal to have 30 percent of your down payment at hand, the Federal Housing Administration requires 3.5 percent of a down payment before you can own a home. Don’t forget to check for down payment assistance programs with local agencies as well or lenders as well.
So don’t just submit your mortgage application and hope for the best. Take steps to ensure you get the results you want.
Keller Williams Realty offers real estate support to you and your family. Let’s get your home shopping started. Call us today.
