Speak to a lender before finding your dream home: It's very important to meet with a lender to determine if you are approved for a home loan and if so, how much. Meeting with a lender prior to looking at homes ensures that you don't fall in love with a home only to find out you are unable to purchase it. Knowing the details of an approval also allows you to search for homes in your price range.
If your credit history isn't great, still meet with a lender: Even with less than great credit, there still may be options to getting approved for a loan. Take the first step and meet with a lender to determine what your options may be, with great credit or not.
Know the difference between your credit score and your credit history: Obtaining your credit score and then proceeding to go through with the home buying process may not be such a good idea. Your credit score is important but so is your credit history and it's important to know what your history is before settling on a home. Don't make the mistake of knowing your credit score and then finding your dream home only to find out that your credit history is filled with unresolved bills or errors.
Don't max out credit cards after being pre-approved: Your credit will most likely be checked right before closing on the home so be mindful of that before making large furniture or appliance purchases for the home.
Pre-qualification vs. pre-approval: Getting pre-qualified is only the very beginning and does not mean you are officially approved for a loan. Many times, getting pre-qualified can be done over the phone and is only a vague glimpse into your financial situation. Getting pre-approved usually involves filling out an actual mortgage application and taking a more in depth look at your financial picture.
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