With the prices of home decling and the amount of homes on the market now is a great time to buy a home.  Here are a few tips to help the homebuying process go better.

First you should save up more money and put down a bigger down payment.  There use to be a lot of no money down programs… Not anymore.  You should plan on having at least 5% down, and more if you can.  The more money you put down the easier you will get approved and the lower your monthly payment will be.

Second you can lower the amount of your loan.  You can do this by putting more money down, but also by buying a less expensive home.  Even though you might be able to get approved for a larger loan, do not borrow more than you need to. 

Thirdly you can increase your credit score.  Lenders look at credit scores to see what you can get approved for.  A better credit score can mean a better loan program with better interest rates.   Get a copy of your credit report and see if there is any outstanding loans on your record.  Do the best you can to pay them off.  You will see an credit score increase.

Finally you will need documentation for everything.  You will need w-2’s, copy of tax returns, and maybe other things required by your lender.  The stated income loans are gone, you need to prove everything now.