Real Estate Washington DC,Maryland, Virginia
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New Home Buyers first step to purchasing a home.


Most Realtors out there will tell you to go get qualified as the first step to buying a home. The primary reason for this is they do not want to waste there time with someone who is not qualified or find you a home, that you must have, but is beyond the price range you qualify for.

Buyers often rush out to the first mortgage broker and find out they don’t qualify for reasons such as their scores are to low or they are driving around their house payment. There are almost no loan officers out there that will help you correct your credit score. The higher your credit score the less out of pocket expenses, closing points, and other fees you will have to pay. There is no benefit for them, or dollar signs.

So what should you do first? 

                         freecreditreport.com/                         

Pull your own credit score. Most states require the three credit reporting agencies, Equifax, Trans Union, or Experian; give you a free credit report once per year. If not it usually is less than 10 dollars to pull each report. The websites and the reports themselves should have detailed instructions on how to dispute items. Sometimes you can call in the dispute, other times you must dispute it online. You will be surprised on how quickly you can accomplish this, I did mine in one evening, scared as a rabbit every step of the way.                                                                                                                                    ConsumersSavings.com - Self Credit Repair Program.

                                                                                    The Attorneys Guide To Credit Repair

Dispute all bad information on your credit report even if it is legitimate. If you want to justify it to yourself think about it this way these three organizations will let any lowlife screw up your credit so why should you be fair to them if they will not be fair to you. If the company does not respond within 30 days, many don’t, it is permanently removed from your credit report and can not be put back on it. Do this, even if you don’t think you will qualify afterwards, for with a little work and payoff you will qualify relatively soon.

Credit scores range from 350 to 800. The no penalty mark is approximately 640 or better depending on type of loan and market conditions. Even if you are better than 640 repair your credit and dispute all detrimental information, for if you get in the 700 and above range you can qualify for a lower interest rate. If you are below a 640 repair your credit to get above the 640 range before you apply. For when you apply it reduces your credit score by a little. A nice thing, that has changed, is that you can make multiple applications within a 30 day period with no penalty. This lets you shop the loan. There are lenders out there that make loans below 640 but usually this gets in the sub-prime loan market and or will cost you points and a higher interest rate. If this is the case be patient, correct the report and in a relatively short time you can repair your credit with little effort. Even if they respond within the thirty days contact the people you originally got the credit from, they will often negotiate for a percentage to remove it.

Then it is time to go on to the next step. Finding and shopping your loan. Locating a loan company and or loan officer in order to find that perfect home for sale in the Real Estate market.

 

Remember- Don’t be embarrassed about talking to them. They have heard far worse. This is just a process to them. Don’t be afraid. This is your credit report and they profit from it. Be polite but firm. I know you can do it, if I can.

Please feel free to click on the credit and loan information I have provided on this page. Sign up for a New Listings Notification.

Next Buyers Second Step

 John Norton Realtor

Realty Executives of DC

Homes for sale in Washington DC

Homes for sale in Marland

Homes for sale in Virginia

 

New Home Buyers’ First Step

Whether you have decided to purchase Virginia, Baltimore, Washington Real Estate or are still in the contemplation process, there are some things prospective homebuyers should do before proceeding with the home buying process. First, you will need to determine if you are going to be a cash buyer or require financing. Home buyers requiring financing should review their credit reports and become pre-qualified before meeting with a Realtor. This will allow the homebuyer to have a fixed spending limit as well as sufficient time to clear-up any inconsistencies in his or her credit report.

Checking Your Credit

Most states allow consumers three free credit reports, one from each credit reporting agency, per year. If you have already used your free report for the year or if your state does not participate in the program, you can purchase one for around $10 each. Before actively searching Baltimore MD Real Estate Listings and Washington DC Property Listings, buyers will want to review their credit reports from Experian, Equifax and Trans Union. Checking for any discrepancies, buyers will want to dispute any items that are not consistent with their past accounting or challenge reported open lines of credit that do not exist. Instructions for how to file an online or telephone dispute are contained in each credit report.

Not included in the free credit report is a person’s credit score. These can usually be purchased for $5-$10 and are extremely helpful in securing a loan. When viewing Virginia, Baltimore, Washington Property Listings, prospective homebuyers will want to make a final decision once the total home’s price has been calculated. If having less than perfect credit, monthly payments due to a loan’s higher interest rates, will be significantly more than if the homebuyer was offered a lower interest rate loan. Therefore, it is in your best interest to act as soon as you are thinking about researching Virginia, Washington DC and Maryland Property Listings, as you may require some time to improve your credit.

Know Your Credit Score

As previously mentioned, having a lower credit score can result in a loan with higher interest rates. Because credit scores can range from 350 to 800, prospective homebuyers will want to aim for a credit score of at least 640. Strive for 700, as this is the number that will qualify you for lower interest rates. Should your credit be under 640, work hard to bring your scores up. This can be achieved by clearing up discrepancies on your credit report, reducing your debt to credit ratio and making sure all bills are paid on time, every time. This will ensure you do not have to take out a sub-prime loan, which often has higher interest rates and points attached to it.

Once your credit is good to go, it is time to investigate home loans, which is the New Home Buyers’ Second Step.




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