Most mortgage websites are going to have you run numbers to pre-qualify yourself. Based upon a previously set, but not often used, formula you will determine how much home you can afford. You can use the calculators on my sponsor’s site to use that old formula. The fact is; that you can qualify, probably, for more than you want to spend. With good credit and verifiable income, you can use a very high percentage of your income toward your housing payment and other monthly expenses. Instead of using the mortgage industry’s standards, there are certain things you should do to pre-qualify yourself.

This is very important with regard to your ability to finance a home. Whether it is for a purchase, refinance or a home equity loan, credit scores are used by most lenders to determine whether or not you should be approved for a loan. Your score will also determine the rate, points and fees you will be charged for that loan. For more on credit scoring click here. You can obtain a FREE CREDIT REVIEW by clicking here.

Where do you want to live? What type of home do you want? Do you want to live close to work? School? Recreation? Get a copy of my 10 Things You Need to Know Before You Buy or Build.

Find out how much money it will take for a down payment. How much do you need for closing costs and reserves. What
will your monthly payment be? You can use the payment calculators for your principal and interest payment here. Don’t forget to estimate for real estate taxes, homeowner’s insurance, Private mortgage insurance and homeowner’s association dues.

This does not mean psychiatric care. Find a Realtor to assist with your search and your negotiations and use a professional loan officer. You can contact me anytime by clicking on my picture. I am a loan originator with years of experience. I can also help you find a Realtor that will work for you. Once you follow these steps, you will need a full pre-approval from a lender to proceed to the next step. You can get a free Pre-Approval by clicking here.