What is the First Step to Getting My First Home Mortgage?
You wouldn't take a trip without taking the first step of planning your route. Unless the point of the trip is to wander with no destination in mind. And that's great if that's your goal, but most of us take the first step of planning a route, researching places to stay and making sure we can get the time off from work. In other words, that first step is vital. It works the same when you're looking to get your first home mortgage. In the case of buying your first home, you have a few "first steps" you can take.
One first step is to get pre-approved for a mortgage. This will help you figure out what kind of a monthly house payment you can afford. This helps narrow the focus of your house hunting efforts. It also lets real estate agents know that you're a true customer with buying power, not just a window shopper.
Another first step is to understand your credit history and get a handle on your FICO score. You can monitor your credit history on your own for free. The government requires the credit agencies allow you access to your history. This doesn't mean your score necessarily. But monitoring your history will help keep you on track to having a good FICO score for that first home mortgage.
Understanding credit reports and credit history will help first time home buyers get mortgage ready. A tri-merge credit report pulls reports from the 3 major credit bureaus, and uses the middle number. That's how AmeriFirst Home Mortgage pulls credit scores.
Question: "Why can't I pull my own credit report for a mortgage?"
Answer: Because it will likely differ when a financial institution or lender pulls the same report.
Mortgage Consultant Colleen Maire from AmeriFirst Home Mortgage Battle Creek talks about credit reports and trigger leads in this episode of Mortgage Minute TV.
Trouble with the video? Click here - Credit: Understanding Credit Reports with Colleen Maire
Get started on the road to your first home mortgage. Download "The Essential Guide to Buying Your First Home" at the button below. From FICO scores to down payments, you can learn all about the home buying process from the lender's point of view. We want you to know all about the financing so you're a powerful borrower.
(First steps: Flickr user chthn)