Lets explore debt ratio from multiple angles so that you can see the whole picture. Debt ratio is also referred to as DTI (“Debt to Income”) and these terms are used by me and my team to qualify buyer every day! DTI refers to the total percent of a borrower’s income that is allocated to […]
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Using Your Assets to Qualify for a Ho...
Maybe you have enough money to pay cash because you don’t want to liquify them. How can you obtain a home loan when you don’t have enough verifiable income to qualify for a mortgage? If you have significant assets, you can invoke “asset dissipation” guidelines to use your assets as a source of income when […]
Fannie Mae HomeReady
The HomeReady loan is a conventional loan offered through Fannie Mae. Borrowers can put as little as 3% down. The rate may be lower than what is otherwise available and the mortgage insurance cost is lower too. All HomeReady loans must be approved through Fannie Mae’s automated underwriting system. Generally the maximum debt ratio is […]
NH Housing Home Preferred
The Home Preferred loan is a conventional loan offered through NH Housing. Borrowers can put as little as 3% down. The rate may be lower than what is otherwise available and the mortgage insurance cost is lower too. All Home Preferred loans must be approved through Fannie Mae’s automated underwriting system. Generally the maximum debt […]
Why FHA?
The buyer gives you a prequalification letter for an FHA loan. You’re thinking: “Oh, No! Why FHA?” But there are many reasons why the lender may have chosen FHA for the financing type including it allows for a lower credit score than any other program and it allows for a higher debt ratio than any […]
Determine what you can afford
What you can afford vs what the mortgage company says you can afford. What you feel you can afford You should definitely have a grip on your own budget first; check out this resource page on budgeting. You should also consider the following: Do you have to pay for utilities now? Itemize your current utility […]
What’s the best program for a f...
Many people wonder what the best program is for a first time buyer? The answer is dependent on the buyer’s credit score and credit profile, the buyer’s income and the amount of cash the buyer has to spend on down payment and closing costs. The combination of these items gives a loan officer clues to […]