Try another mortgage application with a mortgage lender that has broader loan products.
You can access loan programs depending on your current financial situation.
You have been renting your apartment for years now. Kids are growing, you’re seeking a better school district and the urge of owning your own space hits you.
Then one day you and your wife, while having breakfast thought of looking to open houses around your area just for curiosity.
You open your app to see what’s on the market on your dream zip code and the perfect area. Picked the houses, went to it then on the third house you and your wife fell in love with this one house in a cul-de-sac with a two-car garage. Very simple and just the perfect size for your growing family.
Our first thought, we have our local bank that we are friends with the local branch manager for years now. You go to bank and ask to see if you would qualify for a home loan. Then the jargons come in- credit report, downpayment, tax returns, pay stubs, debt-to-income ratio, mortgage rate, APR rate and impounds.
You can get a free credit report here.
That was tiring both mentally and emotionally, wasn’t it?
Then “boom” you still got denied.
The manager will tell you that you don’t qualify with their loan programs. You will be told to increase your credit course, have more down payment or you don’t make that much income.
The truth is banks have narrow loan programs that only caters to almost perfect scores or in a bracket of income level.
It’s time to increase your knowledge and mindset.
Don’t be discouraged! There are mortgage lenders or mortgage bankers that have wider loan options that can help you with your current specific financial situation.
Rule of 2’s
Basic mortgage loan application will need the basic documents.
- 2 years of current and consecutive tax returns.
- 2 copies of W2s (this goes to both applicants if applying married).
- 2 forms of government ID.
- 2 current pay stubs
Some mortgage loan programs only require one year of tax returns and some needs a copy of your bank statements. But the bottom line is you have more options for a mortgage loan program.
Apply with mortgage lenders around your area?
There are mortgage lenders online and there are local ones that you can access. Local mortgage bankers have their own in-house licensed Loan officers that can help you with the right loan for your current needs.
Local mortgage offices know more about your area and might have other locations that are up and coming that can give you more options for buying your new home.
Open Google- type in Mortgage lenders then your city. Example:
- Mortgage lenders Los Angeles CA
- Mortgage bankers Los Angeles CA
Scroll down to the organic searches, its either they have a map listing or down the organic search terms. Pick a couple with reviews and call them. Let them know the area, how much was the house and are you currently employed?
Questions about your income and employment status will come up and you need to be as specific as possible. Mortgage lenders needs this to confirm what kind of mortgage program you can qualify for and stir you with the correct program.
You’ll be surprised on a broader scale of options you have, make sure you have a notepad when you’re on the phone or in their office.
Good Loan Officers can give options and structure your application to suit your current financial standing.
A Mortgage application is free and you need to stay away from lenders that might charge a fee. A licensed Loan officer will never charge you a fee.
Mortgage Applications and Current Rates?
With all media and social shares-Mortgage Rates are, most of the time, the deal breaker.
It’s one of the important factors but not the only one.
Let’s be practical and realistic. Rates will depend on your credit score, income and debt-income-ratios.
To make it easy on you-ask your loan officer for the monthly payment. Then ask for the rate for that monthly payment.
The reason for that strategy is see if you are comfortable with that payment. Compare it to your current rent or your current mortgage payments. Call It the stress test for your finances. Have the mindset that having a new house that your monthly allotment for housing would be higher.
To know more about property records and history of the house that you would like to purchase click here.
This foresight and knowledge would give you the tools and empowerment to be more objective in finding your home than emotional. Call lenders today and experienced professionals can present you options that will be tailored to your current situation.
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