Countrywide Home Loans Offers Mortgage Insights to Educate and Empower First-Time Buyers

Calabasas, CA (PRWEB) November 15, 2007 -- Home loan interest rates are still near historically low levels and a variety of affordable mortgage options continue to be available for qualified borrowers, making home-buying conditions more favorable than many first-time home buyers may think. Some prospective buyers may still feel overwhelmed by the prospect of a first home purchase given the recent news coverage about falling home prices and the lack of affordability in some areas of the country.

Dan Hanson, managing director of Countrywide Home Loans, says prospective buyers can overcome the sometimes difficult down-payment hurdle by setting an aggressive budget and then buckling down and sticking to it. ?Buyers should examine their spending habits and lifestyle for areas where they can cut back and increase their savings,? he said. ?Foregoing a new car or a vacation now can pay off in the long run when working to accumulate the down payment for a new home.

Explore Down Payment Options

From government loans to special programs catering to first-time buyers, a number of mortgage options exist. Many cities offer special down payment assistance programs, or silent seconds, to help eligible first-time home buyers accumulate down payment funds. By working with a reputable lender and professional home loan consultant, first-time buyers can identify responsible mortgage solutions that fit comfortably within their overall financial picture.

Examine Your Credit Score

Prospective buyers can also prepare to purchase a home by examining in advance their credit record and knowing their FICO® score. ?One of the factors we consider is the borrower?s credit history,? said Hanson. ?It?s a good idea to review your credit report and clear up any discrepancies before considering purchasing a home or applying for a mortgage, especially if there have been any previous credit problems.?

Get Pre-Approved

According to Hanson, the first and most important step before shopping for a home is to get pre-approved for a home loan. Pre-approval verifies a borrower?s credit information and determines how much they can afford to spend on a home. With a pre-approval, the lender generally commits to provide financing contingent on a satisfactory property appraisal, title review and no change in the borrower?s financial condition.

?Pre-approval lets qualified buyers know how much house they can afford,? said Hanson. ?It also improves their bargaining power with a seller by showing that they are serious and eager buyers.? Countrywide can approve qualified buyers upfront, allowing them to begin their search for a home immediately.

Manage Your Mortgage

Once you?re in your new home, Hanson recommends that homeowners closely monitor and manage their home mortgage loan as they would other financial investments within their portfolios. ?Throughout the life of your loan, keep a close eye on the interest rate, the loan term and other factors to ensure that you still have the best available home loan given your current financial situation,? says Hanson.

For more information, visit the company?s Web site at www.countrywide.com or call 800-747-1871.

About Countrywide Home Loans, Inc.

Countrywide Home Loans, Inc., a member of the Countrywide® family - America's #1 home loan lender ? (as ranked for 2006 by Inside Mortgage Finance, Feb. 2, 2007, Copyright 2007), originates, purchases, securitizes, sells and services home loans and is the primary subsidiary of Countrywide Financial Corporation (NYSE: CFC). Countrywide Financial Corporation, through its subsidiaries, provides mortgage banking and diversified financial services in domestic and international markets. Founded in 1969 and a member of the S&P 500 and Fortune 500, Countrywide Financial Corporation is headquartered in Calabasas, California.

http://www.countrywide.com

Media Contact:    

Janet Quan or Kris Yamamoto

800-796-8448

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