Many have dreamed of owning their own, but are mostly being discouraged by being denied for their mortgage application. However, one should prepare for a mortgage approvability exam as much as one would put an effort in searching for the right house. Here’s a short list of suggestions to get you started.
Who Should You Contact? – Besides a reputable and licensed lender or mortgage company in Salt Lake City, you would also need to contact a trustworthy realty company, your bank and your accountant. Take stock of your savings, your salary, your income tax and the residences that you are aiming for. Study them, use a mortgage payment calculator and see if the price and payment scheme of the house you’re aiming for are within your means.
What’s Your Credit Score? – This is a very important part of being approved. If you have a low credit score, you can still get disapproved no matter how high your salary is or down payment is. Try to pay off as many of your existing debts as possible. Have your credit score reviewed and see if all the details are correct. Contact your bank for any inconsistencies. Contact as many mortgage companies as you can, to find one that can give you the most options.
What Are You Willing To Give Up? – Since your savings will be considered you would have to bloat it up a bit. Also, paying a mortgage won’t be your only possible additional expenditure when you buy a house. You would also take over the repairs, maintenance, taxes and other miscellaneous fees connected with the property. Take a good hard look at your monthly budget and see where you can stave off portions just to get a higher approval rate. The sacrifice is worth it in the end if it means owning your first house.
Just like any homeowner, you should have the right mindset for the responsibilities of ownership. That said; you should also get ready for possible pitfalls when applying for your preferred mortgage plan. Whatever happens, just keep on moving up.