We are a little under 3 weeks away from the first day of spring! Spring often brings with it the sense of fresh starts, and if you are in the market for a home, there’s no better time then now to start preparing. Here is The Cesi Pagano Team’s 3 ways to jumpstart your homebuying process this spring!
#1 Understand your credit score and credit report
Understanding and having a strong credit score and report are essential when it comes to qualifying for a home loan. By law, you can request a free copy of your credit report annually at AnnualCreditReport.com or by calling 877-322-8228. Keep in mind that this is JUST your credit report and does not include your FICO score. If you find an error on your credit report, you can file a dispute by going to the website of any credit bureau.
#2 Get your documents in order
Getting your documents in order will help you to get a jumpstart on your pre-approval letter (step #3). Begin to collect documents that you’ll need to verify your financials on the mortgage application: paystubs, W-2’s, bank statements, your credit report and, if you have freelance or self-employment income, copies of your last two tax returns.
#3 Get Pre-approved
A pre-approval letter helps real estate agents and sellers know that you’re a credible buyer and able to act quickly when you find your dream home. Getting a head start on your pre-approval letter will save you lots of time and is easier than you may think. A lender can use your documentation (pay stubs, the last two years’ W-2s, your last two federal returns, two months’ worth of bank statements of all types of accounts, and your credit report) to tell you how much you’ll be able to qualify for.