Here is some sage advice when making a big decision on a home mortgage.

Pursuing a mortgage is almost like a right of passage for adults. When the time comes to move from renter, or parents’ home dweller, to a homeowner, you need to do some research. For example, the article below gives you some handy pointers which will assist you in the mortgage search process.

Before trying to get a mortgage approval, find out your credit score. Mortgage lenders can deny a loan when the borrower has a low credit score caused by late payments and other negative credit histories. If your credit score is too low to qualify for a mortgage loan, clean up your credit, fix any inaccuracies and make all your payments on time.

There are loans available for first time home buyers. These loans usually do not require a lot of money down and often have lower interest rates than standard mortgages. Most first time home buyer loans are guaranteed by the government; thus, there is more paperwork needed than standard mortgage applications.

Avoid fudging the numbers on your loan application. It is not unusual for people to consider exaggerating their salary and other sources of income to qualify for a larger home loan. Unfortunately, this is considered fraud. You can actually be criminally prosecuted, even though it doesn’t seem like a big deal.

Know your credit score before going in to get a mortgage.

When considering a mortgage, do not apply for new credit and don’t cancel existing credit cards in the six months before applying for a mortgage loan. Mortgage brokers are looking for consistency. Any time you apply for credit, it goes on your credit report. Avoid charging a large amount during that time and make every payment on time.

Your potential lender will do their own homework on this, but you should arm yourself with the intel as well. Knowledge is power in terms of the negotiations to follow. If you aren’t clear on your strengths and weaknesses, then a lender can more easily use the knowledge against you.

Get mortgage loan estimates from at least three different mortgage lenders and three different banks. By shopping around, you may get a lower interest rate, pay fewer points and save money on closing costs. It’s almost always preferable to get a fixed interest rate. With variable rates, you may not know from month to month what your mortgage payment will be.

Always read the fine print before you sign a home mortgage contract. There are many things that could be hidden inside the contract that could be less than ideal. This contract is important for your financial future so you want to be sure that you know exactly what you are signing.

When you decide to apply for a mortgage, make sure you shop around. Before deciding on the best option for you, get estimates from three different mortgage brokers and banks. Although interest rates are important, there are other things you should consider also such as closing costs, points, and types of loans.

You should look around to find a low-interest rate. The bank’s goal is to lock in the highest rates they can. Don’t let yourself be a victim of this. Make sure you do some comparison shopping so you know your options.

Whether you are moving out of your parents’ basement or an apartment you’ve lived in for a decade, the time is now to become a homeowner. As home prices continue to increase, you’ll see your investment grow. Use the tips you’ve read today to help you find a great mortgage soon.