Managing debt and improving your credit can be an important part of preparing for homeownership. If monthly payments are becoming difficult to manage, or credit issues are preventing you from qualifying for a mortgage, professional credit counseling may help you develop a plan.
Credit Counseling Can Be a Good Starting Point
A reputable nonprofit credit counseling organization can help you review your budget, debts and credit situation and understand the options that may be available to you.
Depending on your circumstances, counseling may include assistance with budgeting, debt management, credit education and preparation for future homeownership.
We Recommend InCharge Debt Solutions
InCharge Debt Solutions is a nonprofit organization that provides credit counseling, debt management services, housing counseling and financial education.
If you are considering a debt-management program, make sure you understand how the program works, its costs and how participation could affect your credit and your ability to qualify for financing before enrolling.
Planning to Buy a Home?
If homeownership is your goal, improving your financial position doesn’t necessarily mean you need perfect credit. Mortgage programs have different credit, income, debt-to-income and down-payment requirements.
Before assuming that you need to wait months or years to purchase a home, it can be helpful to have a mortgage professional review your situation. We can help you understand where you currently stand and, if you’re not ready yet, what areas may be most important to work on.
Already Working on Your Credit?
Be cautious about closing accounts, paying off collections, disputing accounts or making major changes to your credit solely because you believe it will improve your mortgage qualification. The effect can vary depending on your individual credit profile and the mortgage program being considered.
If you’re planning to apply for a mortgage, speak with your loan officer before making significant changes so you can develop a strategy based on your specific situation.
Preparing for Homeownership in Maryland, Washington, D.C. or Virginia?
The Chris Jordan Mortgage Team can help you review your financing options, determine whether you may qualify now and identify potential next steps if you’re not quite ready.
Questions about your credit or preparing to qualify for a mortgage?
Call us at (240) 670-5090 or email us at CJMT@mainstreethl.com.
Ready to explore your options? Start your prequalification online.
