| If you are buying foreclosure for the first time and are | | | | to the lender your level of commitment in purchasing |
| considering Fannie Mae foreclosures, there are | | | | the property. |
| important things that you should know in order to make | | | | Buying Fannie Mae foreclosures will also require you to |
| the right decisions. The right knowledge coupled with | | | | come up with a good credit history. This involves your |
| the right skills can easily translate to successful | | | | purchases, your credit card payment history, your |
| foreclosure investing. | | | | outstanding debts as well as your buying pattern |
| Prepare Your Finances | | | | through credit. It will also matter if you are paying your |
| Buying a house means having to secure financing | | | | taxes diligently, home association dues and others. |
| unless you can easily pay in cash for the entire | | | | In some cases, the lender will suggest that you put up |
| purchase value of the property. Understand that the | | | | an escrow account where you could put in money |
| lender would be interested in finding out your overall | | | | aside from your mortgage payments. This will assure |
| financial capability as well as the credibility of your | | | | them that you will have available funds to cover your |
| credit before it will approve your application. In general, | | | | payments once you start to show signs of default. |
| be prepared to provide them the necessary | | | | When buying Fannie Mae foreclosures, a preapproved |
| documents that will show your financial integrity, | | | | loan will work wonders to your application since this |
| sources of income, sound credit score as well as your | | | | could signify to the lender that you are genuinely |
| history of employment. All these information are useful | | | | interested in purchasing the property so much so that |
| information that the bank will utilize in assessing your | | | | you have gone through the trouble of having your |
| mortgage application. | | | | finances checked by a third party lender. It is actually a |
| Also, be prepared to make a down payment. Your | | | | guarantee that your finances could handle the property |
| lender will definitely want to know how much you could | | | | purchase. |
| put up for down payment. More often, this could signify | | | | |