Purchasing Basics

The very first step every buyer needs to take on their home purchase is to obtain a Pre Approval to make sure you can afford and will qualify under revised underwriting guidelines. And if you have been Pre Approved longer than 30 days ago, get Re-Approved because the guidelines for qualifying are changing rapidly.

Even borrowers who have very good FICO scores may see some impact for their financing. Fannie Mae and Freddie Mac, the two largest buyers of pooled mortgages are constantly updating and changing their requirements and fees. When sellers consider your offer of purchase they want assurances that your financing is in order so they won’t lose valuable marketing time taking their home off the market by considering your offer.

And for you the buyer, you want to realistically know how much of a new home you can purchase, and which home loan programs are best suited for your financial situation within an affordable payment.