Whether you’re buying a home for the first time, or you know what you’re doing, finding a good mortgage for the home is something to learn about. If you get a bad mortgage, you can end up paying extra money that you wouldn’t have had to. Here are some good tips to help you find the right mortgage loan.

During the loan process, decrease any debt you currently have and avoid obtaining new debt. If you have little debt, you’ll be able to get a larger mortgage. Your application for a mortgage loan may be denied if you have high consumer debt. Carrying debt could cost you a bunch of money via increased mortgage rates.

HARP has changed recently so that you can try to get a new mortgage. This even applies for people who have a home worth less than what they currently owe. This new opportunity has been a blessing to many who were unable to refinance before. Do your research and determine if would help by lowering your payments and building your credit.

If you are unable to refinance your home, try it again. The Home Affordable Refinance Program (HARP) has been revamped to let homeowners refinance their home regardless of how underwater they are. Speak to a lender now since many are open to Harp refinance options. If your lender does not want to work on this with you, look elsewhere.

Your mortgage loan is at risk of rejection if the are major changes to your finances. Don’t apply for any mortgage if you don’t have a job that’s secure. Also, do not switch jobs during the application process.

Set your terms before you apply for a home mortgage, not only to prove that you have the capacity to pay your obligations, but also to set up a stable monthly budget. This means that you should set an upper limit for what you’re willing to pay every month. Even though it might be your dream home, if you can’t afford the payments then it will be a lot of trouble down the road.

Never abandon hope after a loan denial. If it happens, approach another lender and try again. Each lender has different criteria that they require in order for you to qualify for one of their loans. For this reason, it is sometimes beneficial to apply with several lenders for the best results.

When your mortgage broker looks into your credit file, it is much better if your balances are low on a few different accounts than having one large balance on either one or more credit cards. Your credit card balances should be less than 50% of your overall credit limit. If you can, get balances below 30 percent of your available credit.

All loans carry risk. Finding the best loan is important. The above advice will help you find the best loan for your home.