To secure a mortgage when buying a home, follow these steps: 1) Check your credit score and address any discrepancies to qualify for favorable interest rates. 2) Calculate affordability using a mortgage calculator, aiming to keep monthly payments below 28% of gross income. 3) Choose a loan type (e.g., fixed-rate, adjustable-rate, FHA, VA). 4) Gather documents like pay stubs, tax returns, bank statements, and W-2 forms. 5) Get pre-approved by a lender to strengthen your offer. 6) Submit a loan application with the lender, who will underwrite the loan based on financial stability and property appraisal. 7) Close the loan after final approval and meeting all conditions.

The mortgage application process requires meticulous preparation to ensure approval and optimal terms. A credit score above 760 typically secures the lowest interest rates, as FICO scores directly influence lending decisions. For example, borrowers with scores below 620 face higher rates or denial, according to the Consumer Financial Protection Bureau (2022). Affordability calculations are critical; 72% of first-time buyers underestimate monthly costs, leading to default risks (National Association of Realtors, 2023). Pre-approval increases offer acceptance chances by 88%, as sellers prioritize pre-qualified buyers (Redfin, 2023). Loan types matter: fixed-rate mortgages account for 75% of applications due to stability, while FHA loans require only 3.5% down payment but impose mortgage insurance (Federal Housing Administration, 2023). Document readiness accelerates underwriting, reducing approval time from 30 to 15 days on average (MBA, 2023). These steps collectively reduce financial risk and ensure smoother home purchases.