Get a home loan in 5 easy steps
While there are all kinds of information available for first time home buyers, sometimes you just need an easily skimmable list of steps to get started. In an effort to provide future home owners what they need, Guaranteed Rate presents easy-to-understand steps to obtaining your home loan.
Step One: Credit Pulse Check
First things first, pull your credit and make sure the listed accounts and payment history is accurate. The best rates are made available to those with higher credit scores, so be sure your report is accurate.
Not sure what good credit looks like? Take a deeper dive into your credit and the home buying process.
Step Two: Check your Savings Account
Many first time home buyers are under the impression you need 20 percent down when buying a home for the first time. Not true.
The truth is, some mortgage programs allow you to put as little as 3 percent down and allow gift funds from family members. However, keep in mind you’ll need money for other costs and fees associated with a home loan purchase like an appraisal, title fees and attorney fees (depending on your state).
Want to see the down payment requirements? Check out our easy to read down payment chart.
Step Three: Monthly Payment
Knowing how much you can comfortably afford is really important when preparing to purchase a home. Believe it or not, the math behind determining affordability is really simple.
Step Four: Find a Loan Officer
Find an experienced, licensed loan officer who is knowledgeable and believes in transparency and constant communication. Your loan officer will set the landscape for your home loan experience so choose someone who makes your best interest a priority.
Need a rock star loan officer? Find a loan expert with our search tool.
Step Five: Digitally Apply for Your Loan
With the mortgage industry moving into the 21st century, the digital application and preliminary approval process shouldn’t take long at all – just 20 minutes!
Don’t believe it? Apply now and check out how simple it really is!
Be sure and ask any questions during the process, don’t be shy – this is your money and your commitment.
Visit Guaranteed Rate often for consumer-friendly mortgage education.