When you’re thinking about getting a home loan, it can be incredibly exciting, because deciding to buy a house is something that feels incredibly grown-up and momentous. But at the same time, it’s also a very serious thing too. So you often have to know exactly what it takes to get a home loan. So if you’re just starting out and you want to know what to do, here are three points to be aware of.
So, of course, you’re going to need to make a downpayment. And you have to save up the money for the downpayment. So make sure that you’re working out what kind of house you want to buy, and how much it’s going to cost. That way, you can then give yourself a goal of what you need to save, which is usually 10% of that.
You should also then take a look into the mortgage terms that are offered. Understand what kind of rates there are available, how long you’ll need to make the repayments for, and any other terms that come with the loan.
But that’s not all. Because alongside knowing everything that you really do need to know about your home loan, you also need to be aware of what you need to bring to the table. To get your home loan, you may find that you need a certain credit score. So take a look at some of the scores in the infographic below, and then work on building your credit before you look to get the loan.
Infographic Design By mortgage credit score rules