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Did you know many homebuyers are financially unprepared to purchase a home? According to a recent survey by the National Foundation for Credit Counseling® (NFCC®), almost half of respondents report being "least prepared" to buy a home – a sign that education is needed, especially for first-time buyers.
Prepare your finances well in advance of searching for a home. Here's how.
1. Make a Financial Plan
Knowing where to start means conducting a complete review of how your household budget is managed. Comparing income and expenses, reviewing debt, and tracking savings are just a few of the ways to measure readiness for homeownership.
2. Review Your Credit Report and Score
Because a mortgage is the largest debt a person is likely to carry in their life, credit histor...
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