The new year is here and if you haven’t already, it is time to start thinking about the goals that
you want to accomplish in 2022. If your goal is to finally fulfill your dream of homeownership,
or to upgrade your current home, you should start the planning process today.
Here are five things that you can do to position yourself to buy a home in 2022.
1. Make lots of lists.
The first step in achieving any goal is to make a few lists. In the case of buying a house, your
first list should start with your current financial situation. Make a list of all expenses that you
have going out and all income that you have coming in. Then look to see if any of those expenses
could be consolidated. Another helpful list is what you want and need in a home.
2. Check your credit report.
You might know what your credit is because it is something you try to keep taps on. But, do you
have any idea of what your credit report looks like? People do not regularly check their reports
so there could be something on there holding you back from your optimum credit score that you
did not even realize. If you find out your credit is lower than you would like, work towards
paying off some of your debt.
3. Don’t take out new loans.
It is always surprising how many people say they are trying to buy a house and then go out and
make a large purchase. If you are thinking about purchasing a home in the near future, then do
yourself a huge favor and hold off on acquiring any new debt. That new car can wait until after
you have a home and know that you can afford the mortgage payment.
4. Plan for the future.
Planning for the future, not just right now, is a great rule of thumb when buying a home. Your
family might currently be living on two incomes, but if you plan to have a child and expect that
one of you will stay home, you want to plan for that before getting into a mortgage. This is the
same when thinking about going back to school or planning for retirement. Make sure that you
will be able to afford the mortgage for the long haul.
5. Get pre-approved.
Getting pre-approved for a mortgage loan should be the first step when you actually begin the
home shopping phase. It might be tempting to start looking at houses before you go through the
pre-approval process, but try your best to resist. You do not want to be disappointed when you
find that you were searching for homes outside of your price range. Also, being pre-approved
helps the home buying process go much smoother and quicker. When you finally find the home
of your dreams, that you can afford, you can put in an offer right away.