Steve's Home Buyer Tips

MOLINE, IL – Credit repair can be a pretty overwhelming subject… and for good reason. Sure, most of us know this: the best score wins. Yet the average Joe knows very little about the credit scoring process. Do you find yourself at a loss when looking for ways to boost your scores? Here’s the good news - there are some simple things you can do now to improve your less-than-perfect credit scores and get a loan for the home you really want.

The first step is to make sure you have a current copy of your credit report. Congress recently amended the Fair Credit Reporting Act. So you can receive one free credit report per year. There are three major credit bureaus: Equifax, Experian, and Trans Union. You’ll want to request a free report from each of these companies. Why? Because the data they list on your report can vary greatly. (Go to www.annualcreditreport.com to get your copy… or see the end of the article for more info…)

It's also important to know what a good credit score is. Most “A-Paper” scores generally begin around 680. This number differs slightly among various lenders. Don't worry if you’re not there yet. There’s always room for improvement. Increasing your score by just 5 points can save you a ton of money. For example, if your score is 698 and you increase it to 703, you could save yourself thousands of dollars over time as a result of a slight improvement to your loan’s interest rate.

While credit repair is necessary for some, it's not the only way to increase your credit score. Even if you have stellar credit, you can enhance your score through these steps:

· Evenly distribute your credit card debt to change the ratio of debt to available credit. Let's say you have a credit score of 665. If you have debt on only one card, and four additional credit cards with zero balances, evenly distributing the debt of the first card could help boost your scores.

· Keep your existing accounts open and active. You may be anxious to close credit card accounts with zero balances. But doing this can cause you to lose the benefits of a long-term credit history… and increase your ratio of debt-to-available credit. Here’s the bottom line - don't close those old accounts!

· Keep credit inquiries to a minimum. Each time you look into your credit history, it can impact your score by anywhere from 2-50 points. When it comes to mortgage and auto loans, even though you're only looking for one loan, multiple lenders may request your credit report. To compensate for this, the score counts multiple auto or mortgage inquiries in any 14-day period as just one inquiry. So try to stay within that time frame.

Remember, credit scores don't change overnight. Improving them requires time and effort on your part. So it's a good idea to get the ball rolling at least three to six months prior to submitting your application for home financing.

If credit repair is what you need, you can either begin the process yourself or seek out a repair service. If you decide to make your own improvements, visit as many websites as possible to get information regarding credit laws and consumer rights. Educate yourself to make sure you don’t sustain any ‘self-inflicted wounds.’ A good place to start is the Federal Trade Commission's website, which contains a wealth of helpful literature. (See below for the address.)

If you’re facing severe or complicated credit issues, then you’ll probably want to enlist the help of a professional credit repair company. Before you do, be sure to familiarize yourself with the FTC's regulations on credit repair. With over 1,100 credit repair companies to choose from, it's important to be certain you are dealing with a reputable firm. Check out the FTC's information on fraudulent practices to avoid falling prey to credit repair scams.

Addressing credit issues can be uncomfortable to say the least. But by taking these steps now, you’ll be that much closer to obtaining the home of your dreams.

Additional Resources:

To order your free credit report, go to:

www.annualcreditreport.com

To read the Fair Credit Reporting Act, go to:

www.ftc.gov/os/statutes/frca.htm

For the Federal Trade Commission's information on consumer credit, go to:

www.ftc.gov/bcp/conline/edcams/credit/index.html

Moline, IL – How can you get yourself into the home of your dreams? Easy. First, you need to take Step 1: Know exactly what you want…and visualize it. In your case, you want to buy a house. Set a goal for yourself with a specific timeline. Take the time to focus on your specific needs, wants and desires. You’ll be glad you did!

Step 2 is to tell everyone you know about your goal to create some leverage. Make sure all your family and friends know you want to buy a home. Share with them what you need to do to achieve this goal. This way they can give you constant encouragement. Heck, why not tell your enemies? They can tease you…and make you work even harder to realize your dream!

Step 3 is to constantly be aware of your goal. Write it down. Here’s an example: “I will own a house by December 15^th.” Reinforce this goal in your mind any way you can. Hang up copies of this written message around the house…in your car…in your wallet or purse…and in your office or workspace.

Step 4 is to follow helpful home buying advice from reputable sources. Your lender and real estate agent can provide you with some valuable bits of wisdom based on years of experience earned ‘in the trenches’ helping out others who have gone before you. Why reinvent the wheel? Save yourself hours, days and months of needless frustration and costly mistakes. I’ve provided some free tools you can use. They’ve been carefully designed to make it easier for you to attain the dream of owning your own home…quickly and easily. To get your copy of these tools, call me at 309-743-0110 or see below for more details.

Faithfully do what you need to do to accomplish the goal you’ve set for yourself. Do something, anything. Take action everyday that’ll take you closer to your goal.

Go ahead. Make a goal for yourself and follow these simple steps to achieve it. You’ll put yourself in your dream home sooner than you thought possible. You’ll also have system you can use to get anything you want in life! Hope this helps…

It’s a fact. We often fear what we don’t understand.

A common example of this is the fear of buying a home. The process can seem complex and intimidating. In fact, studies have shown this fear literally prevents many folks from taking the first steps to buying a home.

Why? Because buying a home is probably the largest purchase you’ll ever make. Fortunately, now is a great time for you to take advantage of the wealth of home buying information that’s available.

To prepare, you should “do your homework” and be fully informed before you begin the search for your dream home. Here are some quick tips to help you get started:

Before you start, imagine what it’ll be like to be a homeowner. This is the fun part! Paint a vivid picture in your mind exactly what your dream home will look like. Homeownership is a BIG part of the American dream. And the advantages (tax benefits, sense of home, financial investment) far outweigh any drawbacks!

Your credit history is one of the first things a mortgage lender looks at in making a decision on your loan. TIP: Contact one of the three major credit-reporting agencies to obtain a free copy of your credit report. Review it carefully to be sure all of the information is correct. If you find mistakes, you should work with the credit agency to fix them. It also helps to look it over with your Lender – who can explain the ‘nuts and bolts’ of your report to you.

Saving for a down payment is one of the biggest barriers to homeownership. Mortgage lenders recognize this dilemma. Many now offer low down payment loans. (Three and five percent down payments are commonly available.) You can even get loans that require NO DOWN PAYMENT!

Before you begin working with a Realtor(R,) go to your local lender first. Ask them to pre-approve, not pre-qualify you for a mortgage. Most lenders provide this service free of charge. Pre-approval lets you know exactly how much you can spend on a home- before you start your search.

A pre-approval in hand also makes you a more attractive buyer when you’re ready to make an offer on a home. Why? A home seller is more likely to accept your offer when you can show your ability to get financing.