Homeownership Education & Mortgage Preparation

How to Build Credit While Preparing for Homeownership

Building credit is less about perfection and more about consistency over time.

Start by making every payment on time — rent, utilities, car notes, and credit cards. Payment history is one of the most important factors lenders review. Even one missed payment can slow progress, so setting reminders or automatic payments can help.

Keep credit card balances low whenever possible. High balances compared to limits can negatively affect your score, even if payments are made on time. Avoid opening multiple new accounts at once. Each new inquiry can temporarily lower your score and may raise concerns for future lenders.

If past credit challenges exist, that doesn’t mean homeownership is out of reach. With steady income, responsible habits, and time, improvement is possible. Progress — not perfection — is the goal.

How to Prepare for a Future Mortgage

Preparing for a mortgage starts long before submitting a loan application.

Lenders typically look for stable income, consistent payment history, and responsible use of credit. Staying in the same line of work, keeping bank accounts in good standing, and maintaining organized financial records all matter.

Saving funds is also important. Even modest, consistent savings show responsibility and readiness. Avoid large unexplained cash deposits, as lenders usually require clear documentation.

Most importantly, preparation takes time. Our program is designed to give families breathing room — space to stabilize, plan, and move forward wisely rather than rushing into something they’re not ready for.

A steady path, taken patiently, often leads to stronger long-term results.

What to Avoid While You’re in the Program

While participating in a homeownership preparation program, certain choices can slow progress or create setbacks.

Avoid taking on new debt whenever possible, including new credit cards, personal loans, or large financed purchases. These can affect both credit and future affordability.

Avoid missed or late payments of any kind. Consistency is critical, and even small disruptions can impact readiness.

Avoid job hopping without planning. Changes in employment may affect how lenders view income stability.

Lastly, avoid making financial decisions without understanding the long-term impact. Asking questions and communicating openly helps protect your progress.

Preparation is about stewardship — making thoughtful choices today to build a more secure tomorrow.