5 Things First-Time Buyers Need to Know
Dan Ardis covers the five most important things every first-time home buyer needs to know before applying for a mortgage in Bakersfield.
Key Points from This Video
- Pre-approval (not pre-qualification) before house shopping
- Credit score affects rate, not just approval
- No job changes before closing
- No new credit or debt between pre-approval and closing
- Work backward from a comfortable payment, not the qualification ceiling
Video Transcript
If you're buying your first home in Bakersfield, here are five things you need to know before you apply.
Number one: get pre-approved before you start shopping. Not pre-qualified. Pre-approved. There's a difference and sellers care about which one you have.
Number two: your credit score determines your rate, not just whether you qualify. A 720 versus a 680 can mean a different rate and hundreds of dollars a month.
Number three: don't change jobs before closing. New employment resets your income documentation and can delay or kill your loan.
Number four: don't open new credit cards or take on new debt between pre-approval and closing. It changes your debt-to-income ratio.
Number five: the first number your real estate agent gives you isn't your max. It's your qualification ceiling. Your comfortable payment might be lower. Work backward from the payment you can handle.
Call me and I will walk you through all five before you make a single offer.
Dan Ardis is a Bakersfield-based mortgage broker with 20+ years in the industry, including experience as a Senior Specialty Underwriter. He originates residential and commercial loans for Kern County clients and in 49 states through Barrett Financial Group.
Questions After Watching?
Dan answers mortgage questions for Bakersfield buyers and investors. Call (661) 342-9381 or get pre-approved online.