House Buying 101: How To Buy Your Forever Dream House

The American Dream

The American DreamOK. So you found the house of your dreams. You are a first time home-want-to-be-owner. You are tired of paying rent checks and melting your life and monies away into the nether-land of someone else’s portfolio of dreams. You decide: I can do this! I can buy my own house! I can stop making my landlord wealthy! I can control a tiny bit of my own financial destiny!

You are to be applauded. Here are some givens that you need to have ‘in place’ once you are ready to take and capture the Grande Plan of Home Ownership:

1. A Job: steady as a locomotive chugging down the tracks! That’s you. You have a job that you stayed put at for more than 24 months. You have an employer. You have a source of dependable, stable and verifiable income

2. Manageable Debt: you are not swallowed up in the payment abyss. You have something left over at the end of each pay period. You actually have a savings plan. And you are actively making regular deposits to this safety account

3. Vital Credit References: you need four (4) of these. And you need to establish them right now and keep these pristine. Pristine means crystal clear of blemish. Borrow a bit each month and pay the amount owed off in full. Don’t dawdle in your payments. “Late Payor” is a slayer of FICO scores

4. Stay Current on Your Taxes and Returns: this means pay your taxes in full and on-time. It also means that every single lender is going to require you to produce completed tax returns going back at least two (2) calendar years. Seems simple: but thousands upon thousands seem to omit and overlook this very important piece of this financial jigsaw puzzle

5. Save and Defer: repeat this phrase: “Save and Defer…Save and Defer.” What this means is save your money and don’t buy the new gizmo that is the current rage. Refrain from the shopping channels. Stay home and fix your own dinner more oft than eating out. Think. Save. Defer purchases that are unnecessary. Clear the financial clutter from your universe. You will instantly start realizing the benefits of such reasonable behavior

6. Count Your Marbles: every single lender is going to require up-to-date, accurate and efficient financial records from you. As you move into the business end of purchasing a home, lenders think like…well lenders! They want to be assured that you are organized and thoughtful with your financial data and record-keeping-systems. Start now. Create a useful system. Manage your data

7. Think Long Term: the beautiful benefit of home-ownership is the long-term affect of payments. Each and every time you make a payment on your mortgage, you gather financial momentum. Counterbalance this with each and every time you pay your rent payment…your landlord smiles a broad smile

Forever Dream Houses come with a price. The price is your financial happiness. Whose financial future are you improving? We can help you…contact Your Lending Solutions @ 760.503-5363 or Contact us

For more information on the Loan Checklist for Home Purchase or Refinance click here and for the Dos and Dont’s of Refinance and Home Buying click here