Ready to become a homeowner? 

Buying your first home is a big deal. At Bloom Lending, we believe the process should be exciting and fun, not intimidating or confusing. With us by your side to answer your questions and guide you through every step of the process, you’ll feel more confident about your decision.

Establish your budget.

Start with your income when trying to figure out how much house you can afford.  When buying a house you will have to consider all expenses such as utilities, car payments, student loans, food, entertainment, gas, your monthly mortgage payment, property taxes and home owners insurance.

Clean up your credit.

Your credit score is not the only factor in getting approved for a mortgage, but it is an important part of determining what you will be able to qualify for and what your interest rate will be.

Here’s how to make sure your score is on point:

  • Get a free credt report by visiting
  • Verfiy your credit report for accuracy. Dispute any errors with the credit bureaus directly.
  • Payment History makes up 35% of your credit score, pay bills on time!
  • Debt Utlitzation accounts for 30% of your credit score.
  • Boost credit by utlizating 30% or less of your available revolving credit
  • Pay down any high balance credit cards.

Please do not apply for new credit while in process for a mortgage.

Couple reading tips about buying their first home

Calculate your Debt-to-Income Ratio (DTI).

Traditionally, lenders will not qualify you for a mortgage unless your DTI is less than 45%. To calculate debt-to-income ratio, divide your total monthly debt obligations (including rent or mortgage, student loan payments, auto loan payments and credit card minimums) by your gross monthly income.

Get pre-approved, not just pre-qualified.

Before you start looking for a new home, it's essential to understand the difference between pre-qualification and pre-approval.

Here are the key points to remember:

  • Pre-qualification is based on the information you provide and determines your ability to repay a loan.
  • Pre-approval is a written commitment from a lender to lend you a specific amount of money for a specific period. This process requires a thorough analysis of your financial situation and credit history.

By obtaining pre-approval, you'll be able to determine your budget, negotiate with confidence, and close the deal faster. Real estate agents and sellers tend to take offers more seriously if you have pre-approval, as it shows that you are committed and ready to make a deal.

Choose a real estate agent carefully 

To ensure a successful homebuying process, it's important to work with a trustworthy and experienced real estate agent who has your best interests in mind. Consider seeking referrals from family and friends who have gone through the process before.

Don't settle for the first agent you come across. It's always wise to interview several before selecting the best fit.

Location, Location, Location.

When selecting a place to call home, location is key. It's important to consider the safety of the neighborhood, the ratings of the local public schools, and the length of your daily commute. Other factors such as proximity to parks, libraries, pools, sports arenas, churches, restaurants, and shopping centers should also be taken into account if they are important to you.

Tips for a smooth loan process.

When applying for a loan, it's important to keep your finances stable. Avoid making any significant financial changes, such as purchasing a car, large appliances, or furniture. Also, refrain from moving untraceable money in or out of your accounts, and avoid switching employers during the home loan process.

Get a home inspection.

Home inspections can provide valuable information about the condition of a home, which can help with negotiations and making informed decisions. In some cases, they may be required by lenders or other parties involved in the home buying process.

Get all details in writing.

It's important to ensure that any verbal guarantees made by a seller during the purchase process are included in writing in any agreements you sign. Without a written agreement, the seller is not obligated to follow through on any promises made. Additionally, make sure all details of your loan are clearly stated in writing, including the amount, payments, rate lock, and other important details.