Don't Miss The Boat On Buying A Home
Time flies and it is almost the end of the year and many first time home buyers still haven't purchased a home. Now, most homebuyers are looking to buy a home in the Spring/Summer 2016 but you must start the process as soon as possible. First of all, you must get a copy of your credit report with 3 scores and review the report for inaccurate items and initiate the dispute process as soon as possible because it can take 1-3 months or longer to resolve credit issues.
Next, contact a first time home buyer loan specialist to get pre-approved even if you are not buying until next year because there may be issues with your loan file and the loan officer can guide you through the steps you need to take to make owning a home a reality. Loan guidelines have become more stricter and processing a mortgage involves much more documentation than several years ago. Don't think for a moment just because you have good credit or stable employment that you will have no problem qualifying for a home loan.
Recently, I have had borrowers with perfect credit or high paying jobs who didn't qualify for a loan program. For example, you can have perfect credit but you may have limited credit history which may disqualify you from the program. Also, you can have a high paying job but maybe your income is 100% commission and you only been at the job for a year so the income can't be used unless you can show 2 years of commissions.
Once you are pre-approved then you need to keep paying your bills on time and don't purchase new items and obtain additional lines of credit unless instructed by your loan officer. Also, you should not switch jobs without consulting your loan officer because it may affect your pre-approval. For example, if you have a salaried plus bonus position and you switch to a new company with salary and bonus structure then the bonus portion may be disqualified because you have not shown a track record with bonus at the "new" company even though you have received bonuses in the past.
Finally, you should update your pre-approval 30 days prior to looking for a home and find a realtor to assist you in your home search. Next year will be here before you know it and you must start now on the road to homeownership if you don't want to miss the boat for buying a home. Please contact us at 847-516-5743 or fill out the short pre-approval application and one of our first time home buyer specialists will walk you through the steps you need to take to unlock the door to your new home