Before you start shopping for your dream home, it's a good idea to make some preparations.
Build your green file
A green file contains all your important financial documents. You'll need it to secure financing for your home. The typical green file should contain:
Financial statements
Bank accounts
Investments
Credit card
Auto loans
Recent pay stubs
Tax returns for two years
Check your credit rating
Your credit score will have a huge impact on what type of home you can buy, and at what price. Anything above 620 is considered good. A premium interest rate may mean a lower interest rate on your mortgage. Check your credit rating with a credit reporting agency such as:
Equifax, Experian or Trans Union
Be Careful With Your Finances
Now is not a good time to make sudden career changes or large purchases. You want to approach home buying from a position of financial stability. For more information and for any additional questions, please feel free to contact me at any time.
Pacific Lending & Realty is a "One Stop Shop." We provide lending services as well as Real Estate services. Before you begin searching for a home, call us to get you pre-qualified first. We'll help you figure out how much HOME you can really afford to buy before you begin shopping.
