Mortgage Checklist

Tips for homebuyers:

• Attend a First-Time Homebuyer or Education Workshop. If you're looking to buy your first home, do your homework! Learn about homeownership, the benefits of owning versus renting, and the estimated costs of maintenance and home improvements. It's important to consider all the expenses that come with owning and managing your own home.
• Consider Your Past Employment: It's best to have at least two years at your current job to reflect employment and income stability.
• Set Up an Emergency Savings Cushion: Build up reserves to last you at least three to six months. More is always better in case you need to dip into your funds to pay your mortgage or other home expenses following a job loss or other emergency.
• Determine a Home Budget: Be sure to account for property taxes, insurance, utility bills and repairs when estimating your monthly home budget. Keep in mind that your home's expenses include a lot more than just your mortgage and interest payments.
• Consider Sweat Equity: Your potential home could require a significant investment of time and money for repairs, renovations and redecorating, not to mention the costs of ongoing maintenance, such as lawn mowing, cleaning the gutters, sweeping the fireplace, etc.
• Credit Report: Order a free copy of your credit report and review the information for accuracy. Do this prior to applying for a mortgage to ensure the national credit bureaus are not reporting erroneous, negative information that could lower your credit score and result in a higher interest rate or denial of your mortgage application.