2. Your savings – How much do you have set aside for a down payment, closing costs, and an emergency cushion after you move? 3. Your debts – Credit cards, student loans, car payments, or any other regular obligations. These will factor into your debt-to-income ratio, which lenders use to determine what you can afford. Take some time to write these numbers down. You don’t have to show them to anyone right now. This is just for you to see the full picture.
YOUR CREDIT SCORE
One of the most important numbers in this process is your credit score. Lenders use it to decide whether to approve your mortgage and what interest rate you’ll get. Even a small difference in your score can mean thousands of dollars over the life of your loan. If you haven’t checked your score recently, now is the time. You can do this through your bank, credit card company, or a free credit monitoring service. Don’t worry if your score isn’t perfect — most buyers don’t have a flawless score. The goal is to understand where you’re starting and, if necessary, make small improvements that can have a big payoff. A few quick ways to boost your score before applying for a mortgage: • Pay down high-interest credit cards. • Avoid opening new credit lines right before applying. • Make all payments on time (even one missed payment can hurt). If you’d like, I can connect you with a trusted credit specialist who can review your report and give you a simple, personalized plan.
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