Preparing to Buy
Before you begin your home search, it’s important to properly prepare.
Build Your Green File.
A green file contains all your important financial documents. You will need it to secure financing for your property. The typical green file should contain:
- Financial statements
- Bank accounts
- Investments
- Credit cards
- Auto loans
- Recent pay stubs
- Tax returns for two years
- Copies of leases for investment properties
- 401K statements, life insurance, stocks, bonds, and mutual account information.
Check Your Credit Rating.
Your credit score will impact what type of property you can buy, and at what price. Check your credit rating with an experienced lending institution to determine what you can afford. The lender will research your credit ratings from the three credit reporting agencies Equifax, Experian, and Trans Union. I will be happy to recommend you to experienced and knowledgeable lenders in the residential, construction, commercial, and investment real estate fields.
Be Careful With Your Finances.
It’s important to approach your property purchase while in a position of financial stability, so now would not be a good time to make sudden career changes or large purchases.