Being a first-time home buyer is an exciting time, but it can also be a scary one. After all, a home is the biggest investment that most people ever make. It is important to be completely prepared for the entire process, and know all of the steps involved in finding the right house, and getting the financing needed to buy it. For a first-timer, this can all be extremely confusing, especially if they don’t have a good plan already in place before they start looking for homes. Having a plan is key, and there are certain things that need to be taken care of before anyone can apply for home financing.
A few things are needed to be approved for mortgages in Reno, Nevada, whether one is a first-time buyer or has bought a home in the past. Most importantly, people need to have a good credit score, know what they monthly income and debts are, and have a firm housing budget in mind, or in other words, know how much they can afford for a down payment and monthly payments. It will be necessary to get a credit score and history report, and to not apply for any new credit in the months before getting financing for a home.
Potential buyers will have to be able to show their monthly income and debt. They will need pay stubs for at least two weeks, and be able to show their expenses. They will also have to determine a budget before speaking with a loans officer. A down payment of at least 10% is expected, but it is better to spend more when applying for mortgages in Reno, Nevada. Once all of the appropriate information has been gathered, it is time to meet with the lender to get pre-qualified. Most sellers will want to know that there is a pre-approval at the time of the offer.
Once a person has been pre-approved for home financing, they can start hunting for their dream homes. This can be a process in itself, but it is a lot less stressful when one knows that the financing they need will be available once they find their ideal home.