Bank statement loans have requirements just like any other loan. Just because they are an alternative documentation loan does not mean that there are not strict requirements you must adhere to in order to get approved. Aside from the general fact that you need to have decent credit, stable income verified on your bank statements, and a manageable debt ratio, you also need to have the right bank accounts in order to use them for qualification purposes. Get Matched with a Lender, Click … [Read more...]
How to Make your Self-Employment Income Look Favorable
Self-employment income can be the nail in the coffin when applying for a mortgage if you are not careful. The good news is that there are plenty of programs out there that allow you to use this type of income and get favorable terms. Not every self-employed person is considered high risk, but there are definitely certain ways to make your income from self-employment look as favorable as possible. Get Matched with a Lender, Click Here. Determine your Write-Offs As a general rule, your bottom … [Read more...]
How Much Can you Borrow With a Stated Income Loan?
Stated income loans are still around, contrary to what many people believe. These loans may not look the same as you remember, but there are still ways for borrowers that can’t verify their income the traditional way to secure loan funding.Looking for Current Mortgage Interest Rates? Click Here.Just how much can you borrow and how do the loans work? Keep reading to find out more. Who Can Get a Stated Income Loan? First, let’s discuss who can even obtain a stated income loan. Typically, it’s … [Read more...]
The Top Five Mistakes to Avoid When Settling Debts
If you have debts, you might be frantically looking for a way out of it. One way is to settle the debts with your creditors. While the idea sounds simple, it’s more complicated than you might think. There are some grave mistakes you can make that can put you in harm’s way rather than getting you out of debt. Looking for Current Mortgage Interest Rates? Click Here. Keep reading to learn the top five mistakes to avoid when settling debts. Trying to Settle too Soon You might know that you are in … [Read more...]
How to Avoid Medical Collections on Your Credit Report
You probably don’t worry about medical bills ruining your credit. After all, medical providers don’t report to the credit bureaus. Looking for Current Mortgage Interest Rates? Click Here. While that’s true, there is a risk of your medical collections ending up on your credit report. If you leave your bills unpaid, the medical provider may send your bill to a collection agency. Many collection agencies then report the debt to the credit bureaus. Just one medical collection of decent size can … [Read more...]
Hard Inquiries: How Long do They Stay on Your Credit Report?
Did you know that every time you submit an application for credit, it goes on your credit report? It’s called a hard inquiry and it lets other lenders know that you applied for new credit. This is the case even if you aren’t awarded the new credit. Looking for Current Mortgage Interest Rates? Click Here. Too many inquiries can have a negative effect on your credit score. One inquiry is only worth five points, but if you have a lot of them, it can bring your credit score down significantly. So … [Read more...]
The Types of Debts and How They Affect Your Mortgage Approval
All debts are not created equal. Lenders look at each type differently and with a different level of risk. Understanding the types of debts and how they affect your mortgage approval can help you prepare for your mortgage application.Looking for Current Mortgage Interest Rates? Click Here. What is a Debt Ratio? First, let’s talk about the importance of your debt ratio. Despite the type of debt that you have, a lender will calculate your debt ratio. This is the comparison of your gross … [Read more...]
How Much of Your Home’s Equity Can you Tap Into?
If you have equity in your home, you might think you can borrow it at any time. But that’s not the case. Each loan program only allows you to tap into a certain amount of your home’s equity.Looking for Current Mortgage Interest Rates? Click Here.Why do banks care how much equity you take out of your home? It’s simple – it keeps you paying your mortgage. Without any equity, it can be easy to walk away from your debt and your home because you have the cash in hand. This leaves the lender … [Read more...]
When Does a Mortgage Pre-Approval Expire?
Before you even step foot in the real estate market, looking at homes for sale, you need to find a lender. Once you do, you need to secure a pre-approval letter from them that lets the seller and/or real estate agent know that you are pre-approved for the loan. Without this letter, many sellers won’t even waste their time showing you the home. They only want serious buyers that they know have the ability to secure financing (or pay cash).Looking for Current Mortgage Interest Rates? Click … [Read more...]
The Steps to Writing a Financial Hardship Letter for a Mortgage
If you are asking your mortgage lender for help because you can’t make your payments, you may need to write a financial hardship letter. This letter lets the lender know the exact circumstances of what happened to cause you to fall behind.Looking for Current Mortgage Interest Rates? Click Here.Your hardship letter must be very detailed and include the points that lenders look for when deciding if you are a good candidate for a loan modification.Keep reading to learn more about the … [Read more...]
