It’s never too early to start planning for homeownership. If you receive a tax return this year, consider these ways to put that money to good use:

  • Pay off debts. By eliminating debt, you decrease your debt‑to-income ratio, which puts you in a better position to obtain a mortgage.
  • Start a down payment fund. Use your tax refund to save for a mortgage down payment.
  • Pay down credit cards. Raise your credit score by paying off credit card debt.
  • Save for closing costs. If you have a down payment already, consider using your tax refund for loan closing costs.
  • Create a reserve fund. If you’ve got the down payment and closing costs covered, save your tax return for moving costs or renovations

For more information on mortgages and to get pre-approved before you buy, contact Joe Amato at Waterstone Mortgage, JAmato@WaterstoneMortgage.com or call him at (224) 513-6580.