Is it the lender or me?

Is it the lender or me that is causing the issues? Well there are many different types of lenders, banks and mortgage brokerages. Each one has a different type of niche or type of borrower/ loan they prefer to work with and, yet some are just plan cookie cutter (generic). Probably it is a little of both!

What is hard for many people to understand is that its just as much about the lender as it is about the buyer. A buyer with an 800 plus credit score, who is a W2 employee and applying for a loan amount over $250,000 can pretty much pick who ever they would like to work with and really shop out the best rate.

A self-employed individual with two or more companies and multiple properties with a loan amount under $250,000 and a credit score in the 600’s is not likely going to have an easy time shopping rates and would rather spend more time searching for someone to get their loan done on time. This type of buyer is Continue reading

We Already Signed These

We Already Signed these

It’s a very common statement made by people going through the mortgage loan process. When making or filling out your loan application you will most likely be signing some releases and / or initial disclosures. Some of these you may sign again within the next couple of days, as a full loan disclosure package will be sent to you.

Many circumstances may change throughout the loan process regardless of Continue reading

Handling Cash

Handling Cash

I have cash, it’s my money, I earned it what’s your problem? Why can’t I use it for my down payment or closing cost?

This is actually a very common issue, question and concern for both the consumer and loan originator. I estimate this happens in one out of every seven transactions which experiences a cash issue.

Loan originator: Asking an applicant for a mortgage loan; What are you using for funds for your down payment and closing cost?

Applicant: I have cash. Continue reading

Low Down Payments and Grant Programs

Low Down Payments and Grant Programs

There are many programs out there for the first-time home buyer. Each state may have their own programs and grants. Within each state, some counties may have different types of programs however the availability of funds may be limited either annually or by quarter. Home buyer’s general have to take credit counselling courses. These courses may different per county and  Continue reading

I Want The Best Rate

I Want the Best Rate

“I want the best rate!” Sure I hear that all the time. This is likely the second most asked question after “how much do I qualify for “. The best rate request is most always answered by, “Sure we can give you the best rate, just Continue reading

Income Consistency

Income Consistency

I have often written about the different parts of the mortgage loan process and the components that are needed for a full approval. Yet, it’s been a while since I can remember focusing on just income. So, let’s all take a peek into the basics of qualifying income—Including you well-educated higher income earners, Continue reading

Balancing Your Total Scorecard

Balancing Your Total Scorecard

There are many factors that are needed for a full loan approval. It’s not that easy to say “Hey, I make over 100 grand a year, my credit score is in the high 700’s, why are you asking for all this stuff?”

In general, it’s easy to say the person with the 800-credit score, no debt and a large retirement income will be one of the simplest and fastest loans to approve. The system can easily throw a monkey wrench into the mix once a lender finds out the same person owns ten rental properties.

It’s not much different at Continue reading

Things Not To Miss

Things Not To Miss

I am sure you all can relate to having planned a business trip, vacation or simply just trying to head off to school or work only to find you missed or left something behind.  No matter how minor an item may have seemed at the time, later on it turned out to be a devastating thing to have forgotten or missed when getting ready.

I have seen very well-established business people, attorneys, doctors, engineers and others, overthink or feel something so little is so insignificant that it doesn’t apply to them. I have seen the most disciplined and the not so disciplined miss or forget the do’s and don’ts when going through the mortgage loan process.

All the same rules apply to everyone, no matter what your background or financial position is. Everyone is treated fairly and equally, whether you’re a financially strong or a millennium thinking you’re just entitled to it.

Here are some of the basics:

Do be accountable and responsive to your lenders request

Do pay the IRS and your student loans

Do pay your bills on time

 

Do not put cash in to your accounts, unless you are a very well documented cash business

Do not open or close any credit lines

Do not bounce checks

 

Do not spend money, rather save money

Do not go out and spend $400 a month on fast food, make your own coffee and bag a lunch

Do not move money throughout all your accounts without first asking

Do not hide that you own other properties

Do not lie on your application

Do not withhold information about alimony or child support

Do not lie about being married or not, no you cannot buy a house for your girlfriend without your wife knowing

Do not buy your new furniture before you buy the house

Do not buy a new car, put band aids on the old one instead

Do not schedule days off from work without a clear to close on your mortgage loan

Do not call your landlord bad names, I need them to fill out your verification of rent

Do not be afraid to ask questions.

 

Asking questions could save you thousands of dollars. Remember attaining home ownership is something you work for and earn, it’s not an entitlement.

Think about and plan everything you do and we will see you at a happy closing table