Buying a home can seem intimidating, and applying for a mortgage can be equally as scary. Most people aren’t applying for mortgages in the current real estate market because they assume that they won’t qualify. The fact of the matter is, this might not be true, and you won’t know until you apply. If you think you might be ready to make the jump into the real estate market, then it’s time to get your ducks in a row.
What you need
To apply for a mortgage, you’ll need to have saved a down payment, have a steady and stable income and also have a good credit history. Don’t let the down payment scare you, with different types of mortgages and home loans, you can save as little as 3 percent or as high as 20 percent. A lender can help with this amount.
Here’s a list of what you’ll need to apply:
- Current credit history and score – Don’t let non-perfect credit deter you from applying for a loan. You may already qualify so it’s time to find out.
- Gather your documentation – Get together your income verification, like W-2 forms or tax returns. You’ll also need your credit history, and any other assets you have, like bank statements from saving accounts.
Talk to your Bend Realtor.
Bend Realtors have great recommendations when it comes to finding a loan officer. Typically, they have loan officers that they continue to work with time and time again. Ask your realtor for the lender that the recommend highly.
Trust your Lender.
Lenders will help you determine what price of home you can afford. They’re there to help you review your income, monthly expenses and other financial goals you may have. They’ll help you make the best decision when it comes time to choose a mortgage, and how you qualify.
If your lender thinks you’re ready to apply for a mortgage, and start your house search, getting pre-approved can make this process even easier. If you’re pre-approved, you know exactly how much house you can take on. It prevents you from putting an offer on a house, that you will later find out you can’t afford. It also shows potential home sellers that you’re serious about buying.
If you’re thinking that you won’t qualify but think you might have what it takes, there’s no harm in meeting with a Bend Oregon Real Estate Agent and Lender. They might help you get things on track to purchase a home in the coming years, or they might help you discover that you’re already ready.
Most people assume that they can’t afford homes in today’s market. Yes, the market seems to be at a high, but there are pros and cons to the current market, and some of them might work in your favor. Instead of assuming that you can’t afford a home now, talk to your Real, and see what they recommend. You’ll never know if you don’t try.