The biggest part of any real estate transaction is securing enough money to close! For most buyers, this means getting approved for a mortgage. There is not a better place to start than speaking with a mortgage loan officer and obtaining a pre-approval. Here are some tips to get started.
To start you should gather all of your important financial documents. Make copies of your bank account statements and investments, gather your last two recent pay stubs and two years' tax returns. That should be enough to get you started.
Your Mortgage loan officer will help you check your credit scores. They will be in a range between 350 and 850. 620 is considered "good" while 680 + is will qualify you for more programs and better rates.
If you are buying real estate, try to accumulate funds towards your down payment, closing costs (appraisal, miscellaneous fees, escrow, title insurance, etc.) and expenses such as inspections. Also, do not forget to ask you New neighbors agent about the closer helping you pay your mortgage closing costs!
Now is not a good time to change careers, move your money around, or buy big ticket items. Lenders like stability. So if you are considering any major changes, it pays to meet with a lender and ask them how to proceed before you make any changes!
Most importantly, decide what you are comfortable paying for your home per month. Give yourself a mortgage payment range that allows you to still save money, enjoy your life (vacations, dinners, ect.), and be able to make repairs and updates when needed.