Today’s money tip offers tips on navigating the mortgage application process. If you’re looking to buy a property, it’s important to be prepared for all of the steps required. The first thing you should do is check your credit report. One great place to check is http://annualcreditreport.com. It’s quick and easy, and follows you to ensure there is no negative or erroneous information listed that could affect your application. Keep in mind that it can take a few months to fix any errors on your credit report, so it’s better to start your review sooner rather than later.
To assess your ability to repay the loan, your lender will look at factors like income, assets, savings and existing debt. Lenders will verify this information using a few key documents such as pay stubs, W-2s, bank statements and tax returns, so you’ll want to have those at the ready. No matter what you do, one of the most important parts of buying a property is being prepared and educated throughout the process.