Buying a home can be a complicated process. To put yourself at ease, you can take certain steps to make the whole process a lot easier. Below is a list of six things you should complete before contacting a realtor.

1. Have Money for Closing Costs and the Down Payment

Purchasing a home doesn’t only require taking on a mortgage. You will also have to pay for the closing costs as well as the down payment. Depending on a person’s credit score, the down payment could range anywhere from three to twenty percent. There are many tools free online that can help you play around with the numbers and get an idea of what you can afford for a down payment and monthly payments.

2. Have Money Saved for Future Mortgage Payments

However, you shouldn’t only have money saved to cover the closing costs and down payment. You should also have a savings account with enough money to make the first five to ten mortgage payments. The lender will certainly be much more inclined to give you the mortgage if that is the case.

3. Repair Your Credit

Your credit score and credit history will be weighed heavily in regards to whether or not you receive a mortgage and the terms you are given. Before you even consider buying a home, you should take steps to repair your credit if it’s poor. For more information, find a quality credit repair website.

4. Budget Your Home Purchase

You need to know just how expensive of a house you can afford. Purchasing a home that is beyond your means could result in losing it in the future. Like all bills, you need to budget your home purchase. As a general rule, expenses spent on your home should not exceed 28 percent of your monthly income.

It is always a good idea to have the money set aside to make future mortgage payments if any financial mishaps should arise. Although you will be taking out a loan for your mortgage it is important to be self sufficient and have money saved up for a rainy day.

5. Get Preapproval for Your Mortgage

One way to make the likelihood of getting the home you want much higher is getting your financing in place before you start seriously shopping. Obtaining a mortgage can be extremely complex especially after new revisions in the law. Make things easier by getting preapproved for a mortgage before you decide on a home.

6. Plan for Your Long Term Future

Today isn’t like the past when selling a home was a simple and quick process. Instead, you should consider exactly where you want to live and what house you want to live in for the indefinite future.

Purchasing a new home and obtaining a mortgage isn’t exactly easy. However, if you take the proper steps to prepare yourself and your family, you can make the process far easier and less stressful. Just make sure you are ready for the financial responsibility that owning a home is, do all the research, and know what you are looking for. Good luck!