Prepare for your purchase
If you’re thinking about purchasing your first home, you probably have a number of questions running through your mind: What if my credit score is too low? Can I afford a down payment? What else should I be worrying about? The good news is that, by creating—and following!—a plan, you can confidently prepare for the home buying process.
Work on building and improving your credit now
The sooner you start working toward a better credit score the better. Here are some simple tips for getting your score higher:
- Pay every bill on time, every time. Schedule payments ahead of time with Bill Pay and say bye-bye to late payments once and for all.
- Check your credit report. The three major reporting agencies (Equifax, Experian, and TransUnion) each offer a free credit report once every 12 months. Make it a habit of rotating through the reporting agencies to intermittently pull your credit. That way, you can identify and resolve errors as quickly as possible!
- Consider opening a Secured Visa credit card. This type of credit card uses a secured savings account as collateral (for instance, to have a $1,000 credit limit, you’ll need to maintain $1,000 in savings). By continually borrowing against your own savings—and paying your Secured Visa bill on time!—you can establish positive credit history to help improve your score.
Discover your down payment options
Depending on the type of mortgage you receive, your down payment might be a lot less than you think. With an FHA mortgage, it’s possible to purchase a home with as little as 3.5% down! In some cases, you might even qualify for a conventional mortgage with only a 3% down payment.
Talk with a Mortgage Specialist
One of our expert Mortgage Specialists will gladly answer all of your questions about purchasing a home. We can help you decide which type of mortgage best fits your needs and give you an idea of what you can afford and how much you’ll need for a down payment. Request a free consultation with a Mortgage Specialist near you and get started today!