Use receipts that show how much you have been spending for the past 3-4 month. Write everything down.
Lower the amount you owe.
Your total debt should be no more than 36% of your income. As your mortgage payment is included in this figure and it ranges between 25-28%, the rest of your obligations should not be more than 8-10% of your net monthly income.
Find ways to save money.
Eat your dinner at home, shop at wholesale chains or give up your morning Starbucks. If you don't really need it, don't buy it. Remember to ask yourself this question: DO I REALLY NEED IT?
Find ways to increase your income.
Ask for a raise or get a second job or a part time job. The increase in your income will significantly improve the quality of the home you can afford.
Start saving for a down payment.
Consider designating a certain amount of your paycheck per month towards a home down payment. The larger your dawn payment, the better the interest rate you can get.
Don’t change jobs.
Having a job for more than two years can help you get a lower interest rate.
Improve your credit history.
Pay the entire balance of your credit cards when due. Don’t max your credit cards.Try and limit the amount of credit cards you use.
