Save your money

When an individual's income starts growing and they manage to set aside some savings, they commonly experience what may be considered an innate instinct of modern civilized mankind. The desire to spend money! Holiday of a lifetime, new car etc.

As part of the interview, you will tell the loan officer the price target of your new home. He will ask about your income, your savings and your debts, then give you his opinion. "If only you didn't have this car payment," he might begin, "you would certainly qualify for a home loan to buy that house."