1. Shop for a Loan
Interview at least three lenders and compare the “good faith” estimates. A good faith estimate is used to compare offers from different lenders or brokers. The process can take as little as an hour, but make sure you tell each the same scenario to compare costs and interest rates apples to apples. They should respond to you quickly. Look for a loan that you’d be comfortable taking on for at least 3 years.
2. Set a Budget
Figure out what you can realistically afford month in and month out. Pay off or lower credit card minimum payments, student loans, and car loans before you take on a mortgage if possible.
3. Improve on Credit
One common misconception is that less than ideal credit will disqualify you from buying a home. If one…