Steps To Buying A House — Exclusive & Verified

Plan for an additional 2% to 5% of the loan amount.

Before looking at listings, you must solidify your financial foundation to understand your true "borrowing power". steps to buying a house

Check your credit score and review your report for errors at AnnualCreditReport.com several months in advance. A higher score secures better loan terms. Plan for an additional 2% to 5% of the loan amount

Use the 28/36 rule —housing costs should ideally not exceed 28% of your gross monthly income. Save for Upfront Costs: Down Payment: Typically 3% to 20% of the purchase price. steps to buying a house