Five steps to improve your credit score

Strong credit affects many aspects of your daily life, including your ability to purchase a home. Looking to improve your credit score?

The Board of Governors of the Federal Reserve System offers five tips for doing so. Here is what they recommend:

1. Get copies of your credit report-then make sure information is correct. Go to www.annualcreditreport.com. This is the only authorized online source for a free credit report. Under federal law, you can get a free report from each of the three national credit reporting companies every twelve months. You can also call 877-322-8228 to request Annual Credit Report.

2. Pay your bills on time. One of the most important things you can do to improve your credit score is pay your bills by the due date. You can set up automatic payments from your bank account to help you to pay on time, but be sure you have enough money in your account to avoid overdraft fees.

3. Understand how your credit score is determined. Your credit score is usually based on the answers to following questions:
• Do you pay your bills on time?
• What is your outstanding debt?
• How long is your credit history?
• Have you applied for new credit recently?
• How many and what types of credit accounts do you have?

To learn more about credit scoring, see the Federal Trade Commission’s website: Facts for consumers:
http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre24.shtm

4. Learn the legal steps to take to improve your credit report. Read the Federal Trade Commission’s “Building a Better Credit Report” http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre03.shtm
It has information on correcting errors in your report, tips on dealing with debt and avoid scams- and more.

5. Beware of credit - repair scams. Sometimes doing it yourself is the best way to repair your credit. http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre13.shtm It explains how you can improve your creditworthiness and lists legitimate resources for low-cost or no-cost help.

Do you have questions?
Call Tatyana Baytler
Phone: 443-527-4375

12 Steps to a Successful Settlement on Your Dream Home

Just as with a GPS system, to get an accurate complete road map to your destination , you need a starting point and an end point. Following below steps, will help you to navigate Real Estate settlement transaction and to get to your desired destination - new home.

1. First: Get “Pre-Approval” letter by reputable lender or mortgage broker.
2. Second: Write up the list of housing desires /wishes (house futures, location and etc.)
3. Third: Get the knowledge of the state of the market and get understanding why it is an excellent time to buy. Search for your home and see them.
4. Fourth: Once you have identified the best property to buy and ready to enter into the bid/ contract process, ask agent to see comparable recent sold homes and provide to you Comparable Market Analysis (CMA) and /or order appraisal. Make an offer for your new home - sign all offer documents an agent provided to you. Write a check for your escrow account (deposit is hold in Trust account until you are ready to settlement and it will be used toward your settlement charges)
5. Fifth: Once contract is fully ratified / executed (signed by sellers and buyers), contact the lender and get a commitment letter from the lender not later then 10 business days from contract acceptance. Lenders are required to provide borrowers with a Good Faith Estimate (GFE) of closing costs and Truth in Lending Disclosure within 72 hours of application.
6. Sixth: Contact the lender to make sure providing all required documents to render a final loan approval. Ascertain that an appraisal has been ordered and the date scheduled.
7. Seventh: Hire licensed home inspector. Get the inspection report. If necessary, re-negotiate contract and provide updated version to the lender.
8. Eighth: Communicate with the lender every couple of days to ensure all elements of the loan process are in order and proceeding in accordance with the contract commitment date.
9. Ninth: When you have received the formal loan commitment, coordinate directly with lender to make certain any and all underwriting conditions have or will be satisfied.
10. Tenth: When the lender’s commitment letter is received, in coordination with the agent, order title work and schedule the settlement date and time acceptable to all parties.
11. Eleventh: Find insurance company for your new home. Insurance policy’s effective date must coincide with the settlement date.
12. Twelfth: Ask the agent to order Home Warranty for your new home.


If you are consistent and realistic about all of above real estate transaction steps, while enlisting your "Team of Experts" - your real estate agent, lender, inspector, title company / attorney, you will successfully settle on the home of your dream. Be persistent. Good luck!

Tatyana Baytler
443-527-4375
www.LagretRealEstate.com