Preparation

Before you start shopping for a home/ranch/investment/recreational property, it's a good idea to make some preparations

•  Build a "Green File" (Think green for money):

A green file contains all your important financial documents. You'll need this information to secure financing. The typical green file should contain:

•  Personal and/or Business financial statements
•  Bank accounts
•  Investments records
•  Credit card statements
•  Auto loan papers
•  Recent pay stubs
•  Tax returns for the last two years

 

•  Check your credit rating

Your credit score will have a huge impact on what type of property you can buy, and at what price. Anything above 620 is considered a good credit score. Usually, the higher the credit rating, the lower interest rate on your mortgage. Check your credit rating with a credit reporting agency such as :

Equifax, Experian or Trans Union.

•  Be Careful With Your Finances

When you are in the ' buying cycle' it is not a good time to make sudden career changes or large purchases. You want to approach buying any property from a position of financial stability.