Helpful Home Buying Tips Published March 20, 2018 What can you do to prepare for home buying? Here are the tips from the pros: Check your credit. Most home loan programs have a minimum 620 credit score. You will want to know where you stand. You can obtain more information on your credit report from a trusted source. www.annualcreditreport.com is a good place to start. Evaluate your assets and liabilities. Are you aware of how much you have going out and coming in each month? Do you have a solid budget established? Create an excel spreadsheet for your budget or use our handy budget tool located in your online banking at www.mapscu.com. Log in to your account and check it out. Calculate your debt to income ratio. Most lenders look at a front end and back end ratio. Although it sounds complex, it’s quite easy. Front end ratio: is your monthly housing payment divided by your gross monthly income. 28% or less is a good place to reach for. Back end ratio: is your monthly housing expense as well as all minimum monthly obligations that show on your credit report divided by your gross monthly income. Different loans have different requirements, but 43% or less is a solid target. Figure out your down payment. It takes effort to save for a down payment. Some programs have $0 down and others have 3-5% minimum down payments. In all cases, there are inspection fees, appraisal costs, earnest money and closing costs that have be paid when purchasing a home. Contact a mortgage loan officer for a free consultation to see which program fits best. Maps Mortgage offers many versatile products with competitive interest rates and a smooth, efficient loan process. Our seasoned loan officers have a combined 70+ years of experience. Whether you are looking to purchase your first home, upgrade, or build your dream home, we are here for you.