A little preparation now can protect your choices later. Use this guide to define what feels comfortable, understand the costs around the purchase, and avoid financial moves that can disrupt your approval.
A practical place to begin
Know what to notice. Know what to ask.
Use these points to organize your thoughts and build better questions for the professionals helping with your purchase.
Before you begin
Determine a comfortable monthly housing payment
Think about down payment funds
Review savings and emergency reserves
Check your credit
Talk with a lender before assuming what you can afford
Understand closing costs
Understand property taxes
Consider HOA dues
Consider Mello-Roos where applicable
Consider homeowners insurance
Consider wildfire or flood insurance where applicable
Think about commute and transportation
Identify non-negotiables versus nice-to-haves
Establish a realistic purchase range
Establish an absolute maximum price
Things to avoid before and during the buying process
Do not open new credit accounts without discussing it with your lender
Do not close existing credit accounts without discussing it with your lender
Do not finance a new vehicle
Do not make large financed purchases
Do not co-sign for another person
Do not move large amounts of money between accounts without documentation
Do not make unexplained large deposits
Do not change jobs, compensation structure, or employment status without speaking with your lender first
Do not assume prequalification and preapproval mean the same thing
Do not spend your closing funds
Your questions are welcome
Let's turn the checklist into your plan.
You do not need to have every answer before reaching out. Bring what you know, what you are still figuring out, and the questions that keep coming up.
