For many college graduates, graduating with student debt is fairly common. However, this is a great time to start investing your money early, such as investing in a starter home. Buying a home with student loan debt is not impossible, but there are financial factors you should consider when applying for a mortgage.

Here are a few steps you should take that will improve your chances of qualifying for a home loan as a college student, even with loan debt. 

• Pay off as much debt as possible: The most important step to take when working to qualify for a mortgage is lowering your debt-to-income ratio. The earlier you can start paying off your student loan debt, the better. If you have another source of debt, such as a credit card bill, this is a good time to pay it off if you can.

• Improve your credit score: A healthy credit score is one of the more important factors lenders will look at when determining if you are qualified enough for a home loan. Be sure to make your student loan debt payments on time to avoid dragging down your credit score. Set a reminder on your phone or calendar to submit your payment even before the due date. 

• Increase your income: Increasing your income will help lower your DTI ratio and look better when lenders view your income history. Look for a new side hustle or two to bring additional income in, or ask for extra hours at your current job. 

If you aren’t too sure if post-graduation is the best time to invest in a new home, you can always start by renting a home first to get your feet wet in the homeowner’s pond. This can also be a good time to pay off as much student loan debt you can, and then start searching for your ideal home in your price range!