Buying a home is an expensive proposition, regardless of your financial situation, so we want to give you a few pointers to keep in mind when buying your next home.

Your first step is to save for the down payment. The more money you are able to put down, the greater your chances of being able to negotiate a lower price for your home. Also, you’ll be able to save more on your mortgage.

A good rule of thumb when purchasing a home is to have at least 20% of the total value (if not more) for your down payment. You’ll also need some extra funds for the closing of the house.

Start saving now, don’t procrastinate. Put the money you are saving for a home aside so you don't spend it, by putting it in a savings account. Try to find a bank with a good compound interest rate for it’s saving accounts so while that money is being stowed away and saved, you are earning a little interest on it as well.

If your salary is not enough to save up for the house, consider the possibility of a second job. That salary, a long with the 20% you are saving will be a big help financially when getting ready to buy the house.

Remember, even while you are saving, you need to also keep up with bills you already have. Staying financially stable while saving for your house is important, as it will have a major impact on your credit score, and eventually your mortgage approval or not.

With these simple steps, you will be on your way to buying the house of your dreams.

About 1/3 of your FICO score is based on how much of your available credit you are using. This is called your "credit utilization".

The higher your utilization rate… the lower your credit score. The credit scoring models view this as you getting closer to maxing out your credit lines and becoming a higher risk.

If your credit limit is cut by your credit card issuer and has caused your credit utilization measure to drop, it subsequently lowers your credit score without you doing anything on your part.

If, however, your credit card company reduces your credit line on a credit card that you do not carry a balance on… then there is virtually no impact to your score.

Have you had credit lines decreased through no fault of your own? Let us hear about it. Click the comment link below and sound off. Your email address is NEVER published on this site, even though it is required (to prevent spam bots from posting here) to post your comment. We'd love to hear from you about this credit card limit lowering situation.

Our September 2010 Newsletter is now online…

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Decks and patios not only provide a space for outdoor entertaining, they can also increase your home’s curb or external appeal.  But before you start construction, spend some time thinking about what you're looking for in an outdoor space. The wrong deck or patio can become unused space and an eyesore. The good news is, there are plenty of options with decks and patios that are sure to satisfy anyone’s vision of their perfect outdoor retreat.

Start by thinking about how you’ll want to use the space. Be realistic with your size expectations as well as your budget. Don’t forget to consider the maintenance requirements as well. Wood is the most common material choice for decks, however wood also requires a lot of maintenance. Wood decks should be inspected for loose boards, protruding nails and splinters and they need to be cleaned, sanded and refinished regularly (sometimes as often as once a year).

In general, decks are more affordable than patios, and concrete is often the most durable option and requires the least amount of maintenance. If you like the look of a wood deck, another option is called “alternative decking”, which is composite “wood” made of wood, plastic or aluminum that could be blended with recycled wood fiber, sawdust, plastic or fiberglass. This option better resists the effects of weather, but that doesn’t mean it’s totally maintenance free. You’ll still need to power wash your deck and keep an eye out for any needed repairs.

Patios and terraces are other popular options for outdoor spaces. Patios provide a great place for family barbecues and backyard parties. There are several surface options to choose from: stone, slate, brick, gravel and concrete, just to name a few. Having several options allows you to customize your space exactly to your liking.

A well constructed outdoor space can increase the value and appearance of your home. Once you’ve completed your retreat, be sure to make the most of it by spending lots of time in your outdoor space!

Your credit history is more important than ever. But do you know how to clean it up and keep it looking good?

Have questions or comments? Use the comment link below and sound off. Remember, your email address will NEVER be published with your comments for your protection and privacy.