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5 Mortgage Tips For First-Time Home Buyers

5 Mortgage Tips For First-Time Home Buyers

<p style&equals;"text-align&colon; justify&semi;">Buying a house entails a ton of work&period; It is a serious commitment that merits a great deal of planning and preparation to ensure that all aspects are precisely what&comma; where&comma; and how they should be&period; Furthermore&comma; if you are purchasing a house for the first-time&comma; you will likely need a mortgage&period; In fact&comma; before even perusing online real estate listings and attending open houses&comma; one should audit his&sol;her mortgage options&period;<&sol;p>&NewLine;<p style&equals;"text-align&colon; justify&semi;"><img class&equals;"aligncenter size-full wp-image-12644" src&equals;"https&colon;&sol;&sol;medusamagazine&period;com&sol;wp-content&sol;uploads&sol;2015&sol;11&sol;5-Mortgage-Tips-For-First-Time-Home-Buyers&period;jpg" alt&equals;"5 Mortgage Tips For First-Time Home Buyers" width&equals;"570" height&equals;"374" &sol;><&sol;p>&NewLine;<h3 style&equals;"text-align&colon; justify&semi;"><strong>Prepare Your Financial Records<&sol;strong><&sol;h3>&NewLine;<p style&equals;"text-align&colon; justify&semi;">Expect to produce documents&comma; beginning with an X amount of years’ worth of income tax returns and monthly bank statements&period; Fortunately&comma; you can find copies of the latter in your bank&&num;8217&semi;s website&period; Simply log in to your account and print the Account Statement&comma; which is usually in PDF format&period; Banks or private lenders will want a valid proof of income that implies the borrower&&num;8217&semi;s financial stability&period; Any outstanding debt should also be reported&period;<&sol;p>&NewLine;<h3 style&equals;"text-align&colon; justify&semi;"><strong>Use a Mortgage Calculator<&sol;strong><&sol;h3>&NewLine;<p style&equals;"text-align&colon; justify&semi;">If you have no clue as to how much your mortgage rates will cost&comma; using an FHA mortgage calculator is the fastest and simplest way to put a solid number on it&period; The calculator can identify the lowest down payment and the highest FHA mortgage rate that is allowed when buying a property&period; It also generates an estimate of your closing expenses&period;<&sol;p>&NewLine;<h3 style&equals;"text-align&colon; justify&semi;"><strong>Consult a Mortgage Officer<&sol;strong><&sol;h3>&NewLine;<p style&equals;"text-align&colon; justify&semi;">A mortgage officer can help you identify any unidentified and unresolved credit issues that could restrict you from getting approved for a mortgage&period; Moreover&comma; a mortgage officer can advise you regarding which properties you should focus your search based on specific factors like budget and family size&period;<&sol;p>&NewLine;<h3 style&equals;"text-align&colon; justify&semi;"><strong>Settle Your Debt First<&sol;strong><&sol;h3>&NewLine;<p style&equals;"text-align&colon; justify&semi;">Wiping the slate clean is an important step towards securing a mortgage for your house&period; Banks and private lenders look at your debt-to-income ratio&period; A high ratio could raise red flags from the bank&&num;8217&semi;s perspective&comma; so it is best to settle any outstanding debt beforehand&period;<&sol;p>&NewLine;<h3 style&equals;"text-align&colon; justify&semi;"><strong>Develop Good Credit Practices<&sol;strong><&sol;h3>&NewLine;<p style&equals;"text-align&colon; justify&semi;">Late payments or insufficient payments on your loans can lower your credit score considerably&period; This can make applying for a home mortgage difficult and&sol;or more expensive&period; Keep in mind that once an unpaid bill or loan gets sent to collections&comma; it will take a long period of time for your credit scores to recover from the damage&period;<&sol;p>&NewLine;<p style&equals;"text-align&colon; justify&semi;">Buying a home can be an exciting process and a dream come true for many individuals and families&period; However&comma; without any knowledge of how mortgage works&comma; it can also be a financial landmine&period; Use the five tips above to simplify home-buying and make the right choices every step of the way&period;<&sol;p>&NewLine;

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