Buying a home is an exciting endeavor, as well as a big financial investment. Getting the right mortgage is an important part of purchasing your home. It is no surprise that some mortgage deals are better than others. When you apply for a mortgage, you want to feel prepared.
To get a good mortgage you have to appear to be a good investment in the eyes of your lender. For the best terms, you need to show that you always pay the money back on your loans, and that you can contribute some money to buying your home upfront.
In part 3 of our series, Golden Eagle Mortgage, (one of the best home mortgage lenders in California!) has some tips and tricks to help you impress your lenders and get you closer to the perfect mortgage for you and your family.
Take A Look At Your Credit Score
Your credit score basically shows how good you have been about paying back bills and debt. If your credit is good, then it shows lenders that you are financially responsible. If your credit is bad, it insinuates that you do not always pay things on time, and your lender may give you a mortgage with higher interest rates…or not give you one at all.
These days there is no excuse not to know what your credit is. There are several apps and other means to easily discover and monitor your credit. You can simply download an app such as Credit Karma and know your information in a matter of minutes.
Once you create your account take a close look and make sure there are no mistakes. From time to time there is inaccurate information regarding your credit that you may need to dispute.
Take The Time And Effort To Raise Your Credit Score
Now that you know your credit you can assess the situation and make a plan. You may either need to just work on keeping your score stable or you may need to begin taking measures to increase it.
One of the best ways to raise your credit score is to pay back your debt. Once your debt is lowered, it may take weeks or even months for you to note an increase in your score. Be patient and squeak in extra payments whenever you can.
You can also help things along by adding more good credit. If you feel responsible enough you can get a credit card and pay it back on time, or early each month, this can help raise your credit quicker when done right.
Save Up A Good Amount For Your Down Payment
Another great way to feel confident as you apply for a mortgage is to have a sum set aside for your down payment. When lenders see that you have a good amount of money to contribute for the down payment you are more likely to get a great loan with low-interest rates.
When you apply for a mortgage, things will go much smoother if you make sure to have a good credit score, and savings that you can use for your down payment.
Some lenders give mortgages to people with poor credit and no money down. However, the interest rates are typically higher, so, if you have time to prepare, it is wise to do so.
To work with the best home mortgage lenders click here to contact Golden Eagle Mortgage.