Tips to Improve Your Chances of Getting a Mortgage

At some point, you’ll want to buy a house you can call your own. Once you decide to purchase property, you’ll be faced with applying for a mortgage loan. If you want to find out how you can get pre-approved for a mortgage loan with monthly payment and terms that you agree with, you’ll have to start looking at your finances as early as now. There are different ways to improve your chances at getting pre-approved by a lender; here are some useful tips.

Remortgage before you change your job. In many cases, a person’s duration of employment is very crucial and can determine whether he is eligible to get a mortgage or not. If you’ve been employed by the same company for 12 months or 12 years will factor in your loan approval.

Repay other debts. It is very important that you make it a habit to repay all of your credit cards, store cards and overdrafts, not only to save you money, but also to increase your chances of getting a mortgage. Most of the time, lenders take into account the outstanding debt that their clients have, and will assess whether you can get a mortgage.

Don't open any new cards. This one is an old advice, but became even more important now because of the high expectations that mortgage lenders have. Getting a credit card before or during the mortgage application process can affect your credit score.