For people who are looking to build their credit scores in a quick and easy manner so that they can be eligible for mortgage loans at pretty low interest rates, the best place for them to turn their attention to is credit cards.
The mortgage industry places much emphasizes on an individual’s credit records. And quite rightly so, judging from the fact that mortgage loans are offered to borrowers for a long duration of time at interest rates that are significantly lower than the interest rates of other forms of bank loans.
The mortgage lender definitely needs to know if the borrower would not walk away from his or her obligation to repay the loan thereby causing severe financial consequences to the financial institution that initiated the loan.
When trying to figure out how much house you can afford, your income is the key figure to consider first and foremost. If a house isn’t within your income level, you won’t be able to afford it.
You have to have enough left over from your income after all of your necessary living expenses to pay for the house and all the associated costs. Buying a house is a complicated process, more complicated than renting.
As such there are a lot of costs and fees which you may not immediately think of when trying to figure out how much house you can afford.