Buying a house is a huge investment to make. It takes more than a dream to get into your dream home. If you’re looking to buy, but aren’t sure what steps to take, here is an ultimate guide home buying guide:

Pay down debts: When you can, try to pay off other loans. This can help with both your credit score and your financial stability in the future.

Save up for a down payment: Saving up for a down payment can decrease your mortgage payments substantially. If you’re not currently paying for your full mortgage, save that money for a down payment on your new home.

Know your budget: Make sure you know how much you can afford each month by calculating your debt-to-income ratio.

Factor in your maintenance skills: Not having to pay someone to install cabinets or fix toilets can save hundreds of dollars.

Make a list of needs and wants: Knowing what you need versus what you want is a big financial leverage. Is it important to have a pool instead of an extra bathroom addition?

Get pre-approved for a loan: Review your paperwork with a lender to see how much you’re approved for.

Gather important documents: Collect W-2 forms, pay stubs, proof of income, bank statements, and loan balances.

Arrange homeowner’s insurance: You will need proof of insurance before you are able to close on your home.