Get Your Financing Upfront
I know it is tempting to jump out there and look at properties right away. Most people make this their first step above all others when they are thinking of making a purchase. It makes sense that other steps will not be needed if you do not find a property you want to purchase.
However, you are a much stronger buyer if you have started the process of financing. All lenders are happy to pre-qualify you and help you determine your purchasing power. You really need to understand all the potential costs involved, especially the amount of down payment required. Your budget is likely to change once you find out all the available information. Rates and terms vary widely based on many aspects.
Any offer to purchase should be presented with a pre-qualified or pre-approved letter for financing. This makes your offer much stronger for sellers to consider and may help you get a better price. In a competitive situation, this could be the difference in getting the deal.
What if you find a perfect property and then are disappointed by financing terms and have to back out? For a major purchase, arm yourself with as much information upfront as possible. Call a lender and then shop!