Check the Credit Reports
Patients often put more focus and effort behind brushing, flossing and rinsing just before their dental appointments so that their teeth make the best presentation at that time. Likewise, buyers who plan to use a mortgage in their property purchase should take action to insure that their credit histories make the most favorable impression when the time arrives to apply for a mortgage. Consider reviewing the consumer credit reports available with the three reporting agencies for accuracy while there’s time and dispute any errors right away. Please remember to close those disputes before applying for a mortgage.
Gather Tax Returns
Lenders may request all pages of signed tax returns for up to three years back in order to fully underwrite the mortgage. Further, if the loan application is presented in February 2014, the signed 2013 tax return will also likely be requested. These tax returns will be within reach for many. For others, however, it might be best to request tax transcripts for the missing years directly from the IRS and that process could take a few weeks.
Borrowers, including those who are interested in the use of down payment assistance programs, will be asked to contribute funds toward the transaction and should expect the lender to review up to three months of financial statements to confirm that they are available. If these funds are being borrowed, gifted or obtained from a source other than regular income or savings, it may be in the borrower’s best interest to have those funds showing as available in their personal accounts at least 91 days prior to making mortgage application. While obtaining gift funds for the down payment is often permitted within the 90-day window, the process can be intrusive for both the borrower and giver.
Home Buying Class
HUD-certified home buying classes available throughout Metro Atlanta are often required of those who plan to obtain down payment assistance. Some of them require that the certificate be obtained within six months of closing while others are recognized for up to one year. At any rate, classes tend to fill in quickly, so consider registering to attend an eight-hour class early and have the certificate ready to take full advantage of the various local programs.
Planning ahead can help limit surprises and ease the path to home ownership in Metro Atlanta. Please call (678) 775-2677 or write today for more information on home buying classes, down payment assistance or other ways to prepare for home ownership in 2014. Stay informed of changes in local down payment assistance programs by liking Metro Atlanta Down Payment Assistance on Facebook. Search for your next Metro Atlanta Home at Metro Atlanta MLS.