Hey future homeowner!
If you're planning to buy real estate sometime in the next year, gather around—preferably with a latte or a glass of something bubbly—because your team of real-estate-obsessed, wealth-building besties is here to break down debt management in a way that feels fun, doable, and truly empowering.

We’ve helped so many women prepare for their first home, their first investment property, or that well-deserved dream upgrade. And trust us: smart debt management is the glow-up that makes lenders fall in love with you.

Let’s get you mortgage-ready, money-confident, and aligned with your real estate goals.

1. Why Debt Management Matters When You’re Buying Property

Think of lenders like the world’s most serious dating app—they are judging everything.

They’re asking:

• Do you have too many debts?
  
  
• Are you paying on time?
  
  
• Does your spending show responsibility or chaos?
  
  
• Are you financially low-risk?
  
  

Your debt profile influences:

• Your mortgage interest rate
  
  
• Your monthly payment
  
  
• Your borrowing power
  
  
• Whether you get approved at all
  
  

In other words, your debt can be the difference between “I got the house” and “The lender declined me.”

The good news? You can absolutely transform your financial profile.

2. The 6–12 Month Countdown: Your Debt Game Plan

This is your timeline to becoming Mortgage Material™.

Months 1–2: Get Organized Like the CEO of Your Financial Life

• Pull your complete credit reports from all three bureaus.
  
  
• List every debt, including minimum payment, interest rate, and balance.
  
  
• Identify any late payments, collections, or errors that may need to be corrected.
  
  

Take your time and make this feel like a fresh start rather than a chore. You’re leveling up.

Months 3–4: Reduce “Bad Debt,” Protect “Good Debt”

Let’s clarify:

Bad Debt = High-Interest Revolving Debt

Credit cards, payday loans, or store cards.
These raise your debt-to-income ratio and damage your credit score.

Good-ish Debt = Installment Debt

Student loans, auto loans, or anything with predictable monthly payments.
These matter less as long as you pay consistently.

Your action steps:

• Pay down your highest-interest revolving debt first.
  
  
• Keep credit card utilization below 30 percent, ideally below 10 percent.
  
  
• Do not close old accounts; they help your credit history.
  
  

Months 5–7: Master On-Time Payments

Lenders value consistency more than perfection.
A spotless 6–12 month payment history is extremely powerful.

Set up systems that make it easy for you to stay on track:

• Enable auto-pay where possible.
  
  
• Use calendar reminders or apps to track due dates.
  
  

Months 8–10: Optimize Without Making New Moves

This is the “keep everything steady and avoid surprises” period.

Avoid:

• Opening new credit cards
  
  
• Taking out auto loans
  
  
• Co-signing for anyone, no matter how much you love them
  
  

Do:

• Maintain stable employment
  
  
• Grow your savings
  
  
• Keep credit utilization low
  
  
• Request credit line increases without triggering a hard inquiry
  
  

Months 11–12: Pre-Approval Prep

This is where your financial profile needs to look polished and ready.

Checklist:

• Debt-to-income ratio below 40 percent (ideal is under 33 percent)
  
  
• No late payments in the last 6–12 months
  
  
• Low revolving credit balances
  
  
• Documented savings for down payment and closing costs
  
  
• Steady paycheck stubs or business income statements
  
  

You’re now ready to request your pre-approval with confidence.

3. Debt Strategies That Work Especially for Women Building Wealth

As women, we often manage additional challenges:

• Student loans
  
  
• Caregiving responsibilities
  
  
• Wage gaps
  
  
• Inconsistent income
  
  
• Being told to “be responsible” but not taught how to build wealth
  
  

That’s why these strategies matter:

The Snowball + Avalanche Hybrid

A blend of small wins and smart math to keep momentum strong.

Automated Payments + Sinking Funds

Because life is busy, and systems beat stress.

A Real Estate Readiness Fund

A separate savings bucket dedicated entirely to your future property.

Use Debt as a Tool, Not a Burden

Credit can open doors when used intentionally.

4. The Mindset Shift: Debt Isn’t the Enemy — It’s a Tool

Debt management is not about guilt, shame, or restriction.
It’s about creating stability and putting yourself in the strongest possible position to buy assets.

You’re doing this for your future self—the one building equity, collecting cash flow, or creating generational wealth.

5. When You Should Call In a Professional

Consider getting guidance if:

• You’re unsure which debt to focus on
  
  
• Your credit score is below 620
  
  
• You have collections or charge-offs
  
  
• You are self-employed with inconsistent income
  
  
• You need help determining how much home you can afford
  
  

A financial coach, loan officer, or real estate advisor can help you create a clear, effective plan.

Final Thoughts

You’re not just preparing to buy a property—you’re preparing to build wealth, change your financial story, and step confidently into your future.

We’re cheering you on because we know what’s waiting for you: stability, opportunity, and a life that feels more like freedom.

You’ve got this, and you’re not doing it alone.