Credit Card Common Sense

If you are buying a home for the first time, you need to establish a reasonably good financial foundation before a lender will approve you for a mortgage loan. Lenders look for a good credit rating, sufficient funds to make the initial down payment and pay the closing costs, and a stable employment situation.

Be careful about accepting these offers! New home owners often use most of their savings in the process of financing the transaction, and they need everything from linens to furniture to get settled in the home. With all of the immediate credit available, it may be very tempting to just say “charge it.” If you’re not careful, you could be “up to your ears” in debt very quickly. It takes discipline to reach the goal of home ownership–and it takes that same kind of discipline to maintain financial health after you leave the closing table.

Filed under: First Time Buyer by AgentImage