With the improving health of the real estate market, more and more renters are making the shift towards home buying. If you have decided to invest in real estate, it is important to get your finances in order before you buy. To help you, here are a few tips to use when preparing to buy a home.
- Ditch Debt: Lenders will look at your debt-to-income ratio before they will give you the home loan you need to get into your new home, so minimizing your ratio will help you get the most out of your mortgage. Not only could decreasing the amount of your debt help reduce the interest rate you get on your home loan, but it will also free you up financially when you get into your new home.
- Create A Cushion: When you get into your new home, you will be responsible for all of its maintenance costs. Make sure they do not become too much for you to handle by creating an emergency savings accounts before you move in.
- Check Your Credit: Credit rehabilitation is important if you have a low credit score because not only will bad credit make your mortgage more expensive, it could even disqualify you from getting the loan you need entirely. You can get a free credit report once a year from Equifax, Experian, and TransUnion. Get yours today so you can contest any erroneous items and boost your credit score.
To ensure closing escrow is a snap, have your escrow services handled by the experts with over four decades of experience. Contact the escrow experts at Brighton Escrow in Hermosa Beach, California for all of your upcoming escrow needs. Our team is here to flawlessly execute the escrow process for you, so call us today!