Not necessarily. It all depends on your income. You may not need to pay off any credit cards, reduce the limit or car/personal loans. However, this isn't always the case. The first home buyers are frequently those with limited borrowing capacity. Sometimes people seeking a home loan can have different credit cards with the limits of $20,000 and/or $15,000 along with two car loans and a personal loan. In that case, you'll need to contact a mortgage broker as soon as possible so that you can start taking all the necessary steps in the upcoming weeks or months to reduce your obligations.