If you are in the market to buy a home and don’t know what to expect, our FRIENDS have shared the inside scoop of how you can get approved for a mortgage in seven easy steps.

Can you BE any more excited??

Step #1: Find out how much money you have

do you want a calculator

Buying a house is going to be the biggest purchase of your life. Which is why you need to figure out how much money you have.

Calculate your monthly gross income, debts and other financial responsibilities to get a better idea of how much money you have leftover.


Step #2: Review your credit history and score

surprised phoebe

Mortgage lenders look at your credit history and score to determine your borrowing eligibility.

Before you visit your mortgage lender, review your credit history to make sure it is up to date.

If your credit score is not as strong as you would like it to be, don’t FREAK OUT. There are ways to improve it!


Step #3: Determine your budget

300 million dollars

Before you start your mortgage process, you will need to figure out how much money you are comfortable spending.

Make sure you factor in monthly mortgage payments, maintenance repairs, closing costs and more.

Your budget will give you a more realistic picture of what home you can afford.

Step #4: Save up for your down payment

maybe I don't need your money

The down payment is where a large chunk of you savings will be spent toward.

Experts recommend people putting down at least 20 percent of the home’s market value.

So, if you are interested in buying a home, you will need to save up some money.

Step #5: Choose your mortgage lender

pick me

Before you choose any mortgage lender, shop around.

You will need to compare terms and rates to see where you can get the best deal.

*cough* Neighborhood Loans offers competitive and affordable mortgage loans and rates *cough*

Step #6: Get pre-approved

I need an answer now

When you have chosen your mortgage lender, you can fill out a mortgage application and get pre-approved.

Luckily, lenders are required to give you a status update within three business days of when you submitted your application.

They will inform you if you have been approved, what loan amount, terms and rate they can offer you.

Step #7: Start looking at homes

ross clapping

Finally, you have saved up enough money, determined your budget, and have been pre-approved.

Now, you can start looking at homes that fit within your given criteria.


Pin It on Pinterest