The task of buying home can be overwhelming. To finance home mortgage the questions that crosses your mind is how much house can I afford and how can I find the home mortgage finance. Where will I come up with a down payment and how much will I need? These questions are just the beginning. Buying a home is one of the largest financial transactions.

You should know how much you need to earn to qualify for a certain mortgage and real monetary difference between renting and owning.

• Debt-to-income ratio is an important aspect to consider finance home mortgage. Your total monthly housing payment including mortgage principal and interest, insurance, real estate taxes and any condo monthly assessments should not exceed 28 percent of your before-tax monthly income. Then, when adding in all other consumer debt payments, the total figure shouldn't exceed 36 percent of your monthly income. However, each person's financial situation varies, so find out what is required to finance your home mortgage.
  
  
• You should try to reduce your debt at earliest. The fewer credit cards you carry and the lower the balances the better it is for your finance home mortgage. That's especially true if you have other debts such as a car or student loan.
  
  
• You should solidify your savings for a down payment and closing costs. It's never too early to review your spending, cut out excess spending and set a budget.
  
  
• Review your credit report because it is the most important aspect that will determine your home mortgage finance.
  
  
• The type of loan that's right for you l depends on how much you can afford and what your future plans are. Depending on your personal situation, some home loans may be more attractive than others.

You are the most important person in the entire process. It's easy to think that everyone else carries more weight than you. The seller owns the house and has all the money. The agent talks fast and has an answer for everything. But it is you who will actually finance home mortgage.