Homefit Issue 1 - Riana Keve

3 Proactive Steps First-Time
Homebuyers Should Consider
There are specific steps a firsttime
homebuyer can take before
entering the real estate market
that will greatly improve his or her
chances of getting financing and
being able to purchase a starter
home.
Here are three proactive steps
you should consider taking before
you contact a real estate agent or
mortgage broker:
1. Check Your Credit Score
If there is a single factor that can
help or hurt your foray into the
world of financing a new home
it is your credit score, according
to mortgage-finance experts. So,
if you want a good idea of what
your chances are of obtaining
such financing, you should first
order a credit report from each of
the three credit bureaus, Equifax,
Experian and Transunion. Just
use one of the many online credit
monitoring companies that provide
the reports, as well as your current
credit score for a small fee.
2. Repair Your Credit
Once you get the reports you
should carefully examine them to
make sure there are no mistakes.
If there are any errors, you should
contact the credit bureaus and
take the necessary steps to have
them corrected. You should also
look for any unpaid or collection
accounts. If there are any unpaid
or collection accounts you should
settle them immediately, or set up
some sort of payment plan. At the
very least, this will show that are
willing to pay your debts.
A copy of your credit report will
also show all of the credit you have
available in relation to your credit
lines. This is something lenders
consider carefully before making
a loan. It’s known as your credit
utilization rate. For example, if
you have total credit availability
on your credit cards of $30,000
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