Let’s face it: getting approved for a mortgage can be a complicated hassle. With the right preparation, knowing what’s involved, and what to expect, this process can be a simple one. In today’s blog entry, we’ll be giving you the right step on how to easily be pre-approved for a mortgage.
Early Prep For Pre-Qualification
The earlier you start prepping to buy a home, the better. The earlier you start, the more you’ll know and be able to properly position yourself as a well-made candidate for a loan. Even if you don’t end up buying a home for another year or so, you’ll have a good mindset as to what to expect for prepping.
Make sure that your credit is in order, and if there are any issues, make sure that it’s taken care of immediately. Take into mind that your credit is in the right spot for approval for a large purchase. Don’t be discouraged if your credit is less than perfect, as there will always be home loan plans that are perfect for you. The important thing to understand is that banks want to see that you’re responsible with your spending, seeing that you’ve been making timely payments on your bills to feel comfortable enough to lend you money.
Get All The Proper Documents For Your Mortgage
Lenders will be checking your income, assets, debts, and credit history to see if you’re the right candidate for mortgage pre-approval. Make sure you have these documents available with you before you apply:
- Current pay stubs
- Bank statements for the previous two months
- Proper identification (i.e., driver’s license)
- W-2 forms from your employer for the previous two years
- Federal income tax returns for the previous two years
Fill your Savings ASAP
Financial emergencies can happen practically anytime and without warning. Putting your funds into savings can not only be a sound move for your finances but also make you a better loan candidate in a lender’s eyes. We recommend putting away at least three months’ worth of mortgage payments to help you address financial emergencies without going into serious debt. On a side note, always try and put 20% of your paycheck into savings as well. It’ll help in the long run.
There are several other ways to get yourself ready for a mortgage pre-approval, and at Mortgages Done Right, we can help you with just about any other queries you may have about getting a proper pre-approval. If you’re looking for a professional group that knows the ins and outs of the mortgage/home loan process, Mortgages Done Right is the place to call. We hope that this blog entry helped explain and prep you for pre-approvals and if you have any further questions, don’t hesitate to contact us. Until next time, have a lovely day.