Preparing to Buy
Before you start touring homes or exploring listings online, it’s important to make sure your finances are organized and your goals are clearly defined. Preparation is the key to a smooth, stress-free home-buying experience — and it all starts with a little planning.
Build Your Financial File
Before you begin your search, gather all of your key financial documents in one place. Many buyers call this a “green file,” a folder that contains everything your lender will need to review when processing your loan application.
Your financial file should include:
• Recent pay stubs and proof of income
• Bank account statements
• Investment account summaries
• Credit card and auto loan information
• Two years of tax returns and W-2s
• Copies of leases for any rental or investment properties
• Retirement and insurance documentation (401(k), life insurance, etc.)
• Statements for stocks, bonds, and mutual funds
Having these records readily available helps streamline your mortgage pre-approval process and ensures you’re prepared to move quickly when you find the right property.
Check Your Credit Score
Your credit score plays a major role in determining what kind of mortgage you qualify for and the interest rate you’ll receive. Before you start house hunting, take the time to review your credit report and correct any errors.
Most lenders review reports from the three major credit bureaus — Equifax, Experian, and TransUnion. Knowing where your credit stands early on allows you to address potential issues before they impact your buying power.
If you’re unsure where to start, we can connect you with experienced, trusted lenders who specialize in residential, construction, and investment real estate financing.
Protect Your Financial Stability
In the months leading up to your purchase, it’s important to maintain consistency in your finances. Avoid making large purchases, changing jobs, or taking on new debt — these changes can affect your credit profile or debt-to-income ratio and potentially complicate loan approval.
Focus on demonstrating financial stability and responsible spending. Lenders look for reliability, not risk, so keeping your finances steady will strengthen your position as a qualified buyer.
Getting Ready to Buy
Preparing to buy isn’t just about paperwork — it’s about setting yourself up for success. By organizing your financial documents, understanding your credit, and maintaining financial discipline, you’ll be ready to act decisively when the right home comes along.
Our team can help you get pre-approved, introduce you to reputable lenders, and guide you through every step of the process so you’re fully prepared to buy with confidence.