a new home, which we’ve talked about already in this book, is organizing your credit issues — particularly after a foreclosure (or near-foreclosure). It’s important to ensure your credit is in order, because making any mistakes at this juncture can take months to correct and might even end up sinking your dream of being a homeowner once again. Be sure to obtain your credit report as part of this process. This will provide you with much- needed information in knowing where you stand and giving you a chance of getting the best bargaining terms. Fix your credit if you need to. If your report shows you aren’t creditworthy for a mortgage, then there’s no point in searching for homes and applying for a loan, at least right now. Use a credit repair company, but do some research first to make sure you find a reputable and affordable company. Some are not qualified to properly fix your credit; others will overcharge. A reputable company will not only help you fix your current credit score, but also help in fixing any mistakes that show up in the report.
CONSIDER ALL EXP ER ALL EXPENSES
Remember that the down payment and the monthly mortgage payments aren’t the only expenses for which you’ll be responsible. Many buyers make this mistake of forgetting to consider all expenses associated with continued homeownership. As a new property owner, you’ll be paying closing costs, property taxes, homeowner’s insurance, and maintenance costs. Please ensure you’ve budgeted for all these items when shopping for a home loan and more.
BE INVOLVED
Don’t forget to stay involved throughout the process of shopping for a home loan, researching interest rates, comparing interest rates, and looking for the best mortgage deal. Real estate agents and mortgage brokers have complicated jobs in ensuring their
149
Powered by FlippingBook