Once you’ve made the decision to buy a new home in Connecticut, the process only gets harder. If you thought finding a new home was difficult, wait until you see the paperwork and credit checks that come with getting a mortgage.
Because buying a new home is one of the biggest financial decisions you will make, it also comes with plenty of pitfalls that can trip you up if you are not prepared. At By Carrier we want you to get approved for your mortgage as soon as possible so we offer some tips on how to avoid some common mistakes.
Check your Credit
If you go into the bank without having checked your credit you could be in for a rude awakening. Having red flags on your credit report including unpaid credit cards, defaults on loans and missed cart payments will all show up and this can prevent a mortgage lender from approving you for a loan. Don’t ever entertain a large financial decision without first checking your credit score and making sure you have answers for any anomalies.
Shop Several Lenders
Many new home buyers are eager to get the process over with and make some fundamental mistakes. If one thing can be said about buying a house it is that patience is the best policy. Going with the first offer made is not a wise move and will prevent you from seeing what else is available. Some lenders are so eager for your business they will offer cash back incentives to sign with them and if you don’t shop around you may never find these deals. You will want to find a mortgage lender early to jump start the mortgage approval process but you also want to know that you’ve done your research and considered more than just one offer.
Don’t Overlook Home Expenses
When people are calculating a mortgage for a new home they often forget to factor in all the other costs that will come into play including homeowner’s insurance, landscaping, electric bills and repairs. A home is much more than just a mortgage and if you take on a loan that is too steep when the other costs are factored in you could be looking at a total bill you can’t afford.