Your Personal Cheat Sheet

• Find a Realtor (US!): A Realtor is a licensed professional who represents buyers and sellers in real estate transactions. They have expertise in the local housing market and can help you find the right home at the right price. This is the step we can take to help you.

• Learn your debt-to-income ratio: Your debt-to-income ratio is a measure of how much of your income goes towards paying off debts. Lenders use this information to determine your ability to take on a mortgage. To calculate your debt-to-income ratio, add up all of your monthly debt payments (e.g., credit card payments, car loans, student loans) and divide it by your gross monthly income. Aim for a debt-to-income ratio of 36% or less.

• Determine how much you can spend: Before you start house hunting, it’s important to determine how much you can realistically afford to spend on a home. Consider factors such as the principal and interest on the mortgage, insurance, property taxes, and any down payment or private mortgage insurance that you’ll need to pay. You can use a home affordability calculator to help you get a better understanding of your budget.

• Find a mortgage lender: A mortgage lender is a financial institution that provides loans to homebuyers to purchase a home. It’s important to shop around and compare mortgage rates and terms from multiple lenders to find the best deal.

• Get a pre-approval: A pre-approval is a preliminary evaluation of your financial situation by a lender. It’s a good idea to get a pre-approval before you start house hunting, as it can help you determine your budget and gives you a competitive edge when making an offer on a home.

• Start house hunting (with us!): Now it’s time to start looking for your dream home! We can help you identify homes that meet your criteria and budget. Don’t be afraid to be picky — this is a big decision and you want to make sure you find the right home for you.

• Gather all your documentation: When you’re ready to make an offer on a home, you’ll need to provide a variety of documentation to the lender. This may include proof of identification, your last two months of income, proof of funds for the down payment and closing costs, your last two years of tax returns, and bank statements or investment account statements. You may also need to provide a recommendation letter from a current or former employer or landlord. In some states, such as Washington, love letters may soon be banned as a form of recommendation, so be sure to check with your lender for the most up-to-date requirements.

• Get ready to make an offer with us by your side: With all of your documentation in order and your budget established, you’re ready to start making offers on homes. We’ll help you come up with a competitive offer that takes into account the home’s condition, location, and the local housing market.

The Breakdown

• Work with a Realtor (call us!)
• Determine your debt-to-income ratio and budget
• Find a mortgage lender and get a pre-approval
• House hunt, gather documentation, and make an offer with our help!