1. You know what price range to look in.
2. Many sellers will not even show their home to a buyer who they feel is not serious.
3. Most realtors will not work with you until you are pre approved.
4. When you find the property you want to buy, you will be able to move quickly to make your offer.
How big is this house for $100 K? Here in New York our average studio goes for well over $400k which is scary.
Sorry, now back to your question. My advice to you, and this is something that everyone in my firm stresses all the time including our mortgage brokers is to pre-qualify (Not Pre Approved ) our buyers before you take them out shopping. Last thing you want to do Ashley is go put an offer on a home which you may not be able to afford. Go speak to a lender, a bank or a mortgage broker, make sure you are honest with all of your financials. They will run your credit, check all of your financials and tell you exactly which type of mortgage you will be able to recieve/afford and this will help you go out shoppoing with all the confidence that you need.
Also a suggestion to bring up your credit score is to pay off your debt before you try to get a mortgage.
Best of luck to you and your boyfriend.
I would recommend to get pre-approved with a bank or mortgage lender before starting your new home search. You will be able to determine how much you comfortably can afford on a monthy basis and many times, you will also get some helpful tips to raise your credit to prepare you in making this large purchase very soon.
When meeting with the lender, make certain you are completely accurate with your employment and income information.
Generally we will always say to get pre-approved first. This way you know what you can afford and then you know where to look for a home. All my buyers have to be pre-approved anyway before we submit any offers so why prolong the process. If you are serious about buying a home then get your letter. If you do not qualify there are lenders out there that will help you get on the track of improving your credit and some will even get you on a timeframe of if you stick to their plan they can get you approved in so many months.