Before You Buy a Home, Make Sure You Do This



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Welcome back to our blog. Today I am here with Ann Blasko and we are going to talk about getting your finances in order so you can buy a home. She is going to go through with us some of the most important steps to consider when you want to buy a home.
 
The first of these is getting a credit check done. If your credit is not where it needs to be to purchase a home now, there are steps you can take now so you will be ready a few months down the road. 

The next step is getting a pre-approval. Two years ago it was pretty difficult to get a mortgage and there were very strict lending guidelines. Banks didn't want to lend, except to very qualified buyers. Over the last year, the guidelines have loosened up quite a bit. There are now loans you can get with no money down, lower credit scores are accepted, and the availability of credit has doubled over the last year.

There has been a lot of talk about interest rates as of late and where they are headed. They are definitely going up, but by when and by how much is still very much a mystery. The FED has announced that rates will be rising this year, and most experts are predicting them to rise anywhere from .25% to .5% by the end of the year. Every time that rates go up by .25%, the affordability of buys decreases by 10%! Based on both home prices and rates, now is a great time to buy a home.

If you have any questions for us, we are always here to take your call or email. We look forward to talking with you!

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