The Champions of Loans
First-Time Buyer Roadmap

1Credit Prep (4-12 months before closing)

Your credit score and credit profile decide more than rate. They decide which programs you qualify for, which DPA stacks become available, and whether seller credits can be maximized.

Action items:

• ☑Pull your credit report from all 3 bureaus at annualcreditreport.com.
• ☑Pay down credit card balances to below 30 percent utilization (ideally below 10 percent).
• ☑Do NOT open new credit accounts in the 6 months before applying.
• ☑Do NOT close old accounts; age of credit matters.
• ☑Dispute any errors directly with the bureaus.
• ☑If you have collections, talk to a mortgage advisor BEFORE paying them off. Sometimes paying triggers a credit score drop.

2Income and Document Prep (3-6 months before)

Lenders verify two years of income history, two months of bank statements, and your tax returns.

Action items:

• ☑Gather your last 2 years of W-2s (or tax returns if self-employed).
• ☑Gather your last 2 months of pay stubs.
• ☑Gather 2 months of bank statements for every account.
• ☑If self-employed: gather 2 years of business tax returns AND personal returns.
• ☑Avoid large unexplained deposits in the 60 days before applying.
• ☑Do NOT change jobs in the 30 days before applying without consulting your advisor.

3Down Payment Assistance Research (3-4 months before)

Most first-time buyers underestimate how much DPA they qualify for. The right stack often covers most of the down payment and closing costs.

California stack to research:

• CalHFA MyHome (statewide, 3.5 percent of purchase price)
• GSFA Platinum (statewide, 3-5 percent)
• Forgivable Equity Builder (income-qualified)
• County and city DPA (Sacramento SHRA, Los Angeles, San Diego, etc.)

New Jersey stack to research:

• NJHMFA Standard DPA ($15,000)
• NJHMFA First Generation Homebuyer ($7,000 add-on, total $22,000)
• Chenoa Fund (multi-state)
• City and county programs (rotating availability)

4Pre-Approval (2-3 months before)

Pre-approval is when a lender pulls your credit, verifies income, and issues a letter showing the maximum loan amount you qualify for. This is what makes your offer credible.

Action items:

• ☑Schedule a 20-minute pre-approval call with Ken at calendly.com/kenjrloans.
• ☑Have your income and credit documents ready (Phase 2).
• ☑Ask about MULTIPLE loan program options (FHA vs Conventional vs VA if applicable).
• ☑Confirm DPA program eligibility (Phase 3).
• ☑Get your pre-approval letter with a specific dollar amount.

5Realtor Selection (after pre-approval)

Pick a realtor who knows your market, returns calls within 4 hours, and has experience with first-time buyers and DPA programs.

Action items:

• ☑Interview 2-3 realtors before choosing.
• ☑Ask if they have closed deals with DPA programs you plan to use.
• ☑Ask for references from recent first-time buyer clients.
• ☑Confirm their commission structure.

6House Hunting and Offer Strategy

House hunting is fun. Offer strategy is where deals are made.

Action items:

• ☑Make a list of must-haves vs. nice-to-haves.
• ☑Set a max price 5-10 percent below your pre-approval to leave room for repairs and DPA program windows.
• ☑Ask for seller credits (3-4 percent typical in buyer-favorable markets).
• ☑Use seller credits to fund a 2-1 buydown (lower Year 1 and 2 payments) OR cover closing costs.
• ☑Include a financing contingency and inspection contingency.
• ☑Be ready for multiple offer rounds. Stay patient.

7Underwriting and Inspection (after offer accepted)

This is the 21-30 day window where the lender verifies everything and the inspection happens.

Action items:

• ☑Respond to every lender document request within 24 hours.
• ☑Do NOT open new credit, change jobs, or make large purchases.
• ☑Schedule the inspection within 7 days of offer acceptance.
• ☑Negotiate inspection-based repair credits with the seller.
• ☑Shop homeowners insurance and select a policy.
• ☑Review the closing disclosure carefully 3 days before closing.

8Closing (final 1-3 days)

The finish line.

Action items:

• ☑Wire (do NOT use checks) the cash to close 24 hours before closing.
• ☑Bring photo ID to the closing.
• ☑Sign documents (this takes 30-60 minutes).
• ☑Get your keys.
• ☑Celebrate.