Coconut Creek Real Estate, Remax ParkCreek

jority of people, buying a home is no easy feat especially when it comes to finances. Having the right amount for a down payment and obtaining the best loan option available takes a lot of planning and hard work. So before you begin picking out your perfect Coconut Creek home, follow my advice and get your finances in order.

Check Your Credit Score

When was the last time you took a look at your credit report? If you haven't reviewed it recently, now is the time to go through it with a fine tooth comb. Your FICO score will be a key factor in a bank's decision to grant you a home loan. A low FICO score can cause you to get high interest rates or not qualify for a mortgage at all. Review your report with all three major credit bureaus, Experian, Equifax, and TransUnion, and ensure that there are no inaccuracies. If you find errors, report them to the appropriate bureau immediately to have them removed.   

Next, take a long hard look at what you owe. A great way to improve your credit score quickly is to bring the balances on your credit cards down to less than 50% of the card's limit. Reducing your credit card debt not only makes you a better candidate for a home loan, it makes you better prepared to take on the responsibility of home ownership. Be sure to review your report for any small debts that you may not be aware of and get them paid off. Taking care of those small debts will also help to increase your FICO score.

If you still have some past problems appearing on your credit reports after careful review, be fully prepared to explain them to a loan officer. Join me for Part II where I will cover how you can determine how much house you can actually afford!