The American dream of owning a home is still alive. Millennials are now buying homes more than ever. Buying a house for the first time can seem like a stressful process. There’s no shame in asking for help, especially when buying your first house. Check out these tips we have for millennial homebuyers looking to make the next step.
A pre-approval letter is the real deal, a statement from a lender that you qualify for a specific mortgage amount based on an underwriter’s review of all of your financial information such as credit report, pay stubs, bank statement, salary, assets, and obligations. Pre-approval should mean your loan is contingent only on the appraisal of the home you choose, providing that nothing changes in your financial picture before closing. The reliability and simplicity of your offer stand out from other offers. And pre-approval can give you that reliability edge. It’s also important to remember that after you get pre-approved, do not make any other major purchases, such as buying a car. This changes your finances and has an impact on what you were pre-approved for previously. If the car purchase can wait, then put this major purchase off until after you have closed on your home mortgage purchase loan.
Pay Off Small Debt
Chances are if you’re a millennial in your twenties, you have student loan debt. If you have student loan debt, don’t think you can’t get a mortgage. Don’t worry about this debt as much as credit cards, car payments, and any other monthly payments you might have. Just make sure you don’t miss a payment and factor in these monthly payments into your total budget. However, it’s important to remember […]