How to Start Building a New Home
You’ve been saving money and making a list of must-haves for your dream home. You’re ready to start the home-building process, but where do you begin? You may want to skip ahead to the fun stuff and start looking at home options, but the best thing to do is to talk to a loan officer first.
Get Pre-Qualified
The very first step to purchasing the home of your dreams is to determine your price range. Getting pre-qualified will give you an idea of which homes you can afford, preventing you from falling in love with a home that’s over budget. All you need to do is provide a lender with a general overview of your finances including income, assets, and debt. They will then be able to quickly provide you with a guideline budget so you can start on your homebuilding journey.
Get Pre-Approved
Getting pre-approved means that a lender has pulled your credit score and has conducted an extensive review of your finances to determine your debt-to-income ratio. After doing so, they can establish the actual amount they are willing to lend you. Getting pre-approved is much more beneficial than getting pre-qualified because it means the lender has reviewed all your documentation and approves a specific loan amount. Getting pre-qualified, on the other hand, only gives you a general idea of what they might lend you. Pre-approval will speed up the process of building the home you love because you won’t have to wait to get approved for a loan.
Take the step to make your home-building experience a breeze. Contact one of our preferred lenders to find out what loan programs and payment schedules work best for you. You’ll then be ready to start building the home of your dreams!