Perhaps you are in the market for a new home and you are thinking about home loans. This is a major step and things you do today can impact your life for decades, so one should proceed with caution. Here are tips for saving money and avoiding headaches when financing a house.
Many homeowners look at houses and make an offer on one that they like. Then they apply for a mortgage loan only to find out there is a problem with their credit. Your report could contain information that you do not know about, and it can hurt you.
It is not hard to check on credit, as one can obtain copies from all three major agencies. This can easily be done over the Internet. Many US states allow residents to have a free copy of their credit reports once every year, so it may not cost you a thing.
When you contact the credit reporting services for you report you might also want to receive your credit score, but this is not free. For an added fee you can find out what your score is. However, it might be possible to get a low cost credit score by signing up for a monthly credit watch service, and then cancel before owing anything on monthly charges.
After you check your credit, apply for financing before you look at houses. This can save a lot of grief. A mortgage loan pre-approval lets one know exactly how much house one can afford, and one can shop with confidence.
Perhaps you own your house already and are thinking about a second mortgage or refinance. It is still a good idea to obtain your credit information and check it out. You might have to pay higher interest on your loan if there is info on your report (that can be corrected) that is negative. Just a small increase in interest on home loans can be a substantial amount of money over the years.
Many homeowners look at houses and make an offer on one that they like. Then they apply for a mortgage loan only to find out there is a problem with their credit. Your report could contain information that you do not know about, and it can hurt you.
It is not hard to check on credit, as one can obtain copies from all three major agencies. This can easily be done over the Internet. Many US states allow residents to have a free copy of their credit reports once every year, so it may not cost you a thing.
When you contact the credit reporting services for you report you might also want to receive your credit score, but this is not free. For an added fee you can find out what your score is. However, it might be possible to get a low cost credit score by signing up for a monthly credit watch service, and then cancel before owing anything on monthly charges.
After you check your credit, apply for financing before you look at houses. This can save a lot of grief. A mortgage loan pre-approval lets one know exactly how much house one can afford, and one can shop with confidence.
Perhaps you own your house already and are thinking about a second mortgage or refinance. It is still a good idea to obtain your credit information and check it out. You might have to pay higher interest on your loan if there is info on your report (that can be corrected) that is negative. Just a small increase in interest on home loans can be a substantial amount of money over the years.
About the Author:
Looking to find the best Home Loans, then visit Swan Financial to find a Loan Program that's best for you.
No comments:
Post a Comment