HomeLight

OCTOBER 27, 2020

These rules are designed to create a standard for documenting and verifying a borrower’s financials that creates a presumption that the borrower can afford the loan they have applied for. Not only does paying off your debt increase your credit score, but lenders will also want to see that you have a low debt-to-income ratio.

Debt-to-income ratio 105

Debt-to-income ratio Pre-approval Pre-qualification Loans 105

Realty Biz

SEPTEMBER 30, 2023

They can help you navigate the mortgage process and identify suitable options based on your financial situation and provide you with a pre-approval. Tougher loan approval: Lenders may be hesitant to approve a mortgage application from someone with a low credit score.

Finance 96

Finance Debt-to-income ratio FHA loan Mortgages 96

Marco Santarelli

DECEMBER 22, 2024

Debt-to-Income Ratio: Lenders prefer lower debt-to-income (DTI) ratios. This ratio compares your monthly debt payments to your gross monthly income. Choosing the Right Lender When looking for a mortgage lender, its advisable to apply for pre-approval with multiple companies.

Mortgages 52

Mortgages VA loan Fixed-rate mortgage Debt-to-income ratio 52

Realtor.com

AUGUST 26, 2020

The Mortgage Bankers Association’s Mortgage Credit Availability Index, designed to gauge access to a variety of mortgage products, shows consumer access to home loans fell about 17% between March and July. Many have raised minimum credit scores and lowered maximum debt-to-income ratios.

Loans 102

Loans Debt-to-income ratio Mortgages Purchase and sale agreement 102

HomeLight

DECEMBER 8, 2023

It’s designed for homeowners like you who are in the midst of transitioning from your current home to a new one. The temporary debt juggling act: A key factor in the bridge loan process is your debt-to-income ratio (DTI). What is a bridge loan, in simple words?

Equity 111

Equity Loans Debt-to-income ratio Home sale contingency 111

Redfin

MARCH 5, 2025

Review your savings for your down payment , monthly income, and potential loan options to set a realistic price range. Maintaining a low debt-to-income ratio and a strong credit score can also enhance your eligibility for favorable mortgage terms. The 28/36 rule is a common mortgage budgeting guideline.

Debt-to-income ratio 43

Debt-to-income ratio Backup offer Finance Pre-approval 43

Redfin

AUGUST 12, 2024

These loans are designed for higher-value properties and come with stricter requirements, including strong credit, larger cash reserves, and higher down payments. Department of Agriculture and are designed to promote homeownership in rural areas. Income stability : Lenders prefer borrowers with a stable income and employment history.

Loans 74

Loans Mortgages Pre-approval Fixed-rate mortgage 74

HomeLight

AUGUST 31, 2021

The Section 203(k) program, by contrast, is specifically designed to provide funds to both buy and renovate, upgrade, and repair a home. Only lenders that have been approved by the FHA can offer 203(k) loans. All repairs must be planned, specified, and approved in advance. What’s a 203(k) loan? You must be able put at least 3.5%

Loans 104

Loans FHA loan Pre-approval Finance 104

Redfin

JULY 11, 2023

A mortgage is a loan specifically designed for purchasing a property, commonly a home. How does the mortgage pre-approval process work? Mortgage pre-approval is a crucial step in the homebuying process. Pre-approval provides a clear understanding of your budget and helps you focus your search on affordable homes.

Pre-approval 59

Pre-approval Mortgages Pre-qualification Debt-to-income ratio 59

Redfin

MARCH 5, 2025

Review your savings for your down payment , monthly income, and potential loan options to set a realistic price range. Maintaining a low debt-to-income ratio and a strong credit score can also enhance your eligibility for favorable mortgage terms. The 28/36 rule is a common mortgage budgeting guideline.

Debt-to-income ratio 38

Debt-to-income ratio Backup offer Finance Pre-approval 38

HomeLight

OCTOBER 2, 2020

The pandemic increased the potential risk of lending, which translated to more overlays, or requirements designed to protect lenders for riskier loans. Buyers with lower credit scores and higher debt-to-income ratios are more likely to face overlays, especially when shopping at the very top of their price range.

Closing 97

Closing Mortgages Loans Closing costs 97

Marco Santarelli

JULY 10, 2024

This is significantly higher than the pre-pandemic rates, which hovered around 3-4%. Possibility of Faster Approval Process: The terms and rates are already established, potentially leading to a quicker approval process. USDA Loans: Designed for rural property buyers and are also assumable.

Pre-qualification 52

Pre-qualification Mortgages Pre-approval Debt-to-income ratio 52

HomeLight

OCTOBER 29, 2021

You can go through your household items and sell them on various sites like eBay, or set up shop on one of the many used clothing sites, such as Poshmark or Tradesy (think of that designer outfit you bought and wore exactly once…). This is known as your debt-to-income ratio (DTI).

Inspection 98

Inspection Loans VA loan Title 98

HomeLight

JUNE 30, 2021

USDA loans can only be used to buy homes in designated locations, which typically cover rural and some suburban areas. Combined household income can’t exceed more than 115% of the median family income in the designated rural area where you want to buy. Here are two zero down payment options for qualifying buyers.

VA loan 94

VA loan FHA loan Mortgages Closing costs 94

The Close

DECEMBER 29, 2022

If your clients are concerned about getting approved for a loan, you can remind them that a co-borrower agrees to back the borrower in a mortgage loan. Debt-to-income ratio (DTI). Pre-approval. However, your clients need to know the difference between pre-approval and prequalification (see below).

Purchase and sale agreement 98

Purchase and sale agreement Title Pre-approval Proof of funds 98

Marco Santarelli

AUGUST 24, 2024

Pre-Approval is Crucial: Understanding your budget helps streamline your home search and secures competitive offers. This situation can result from multiple factors, such as late payments, high debt-to-income ratios, or even prior bankruptcy or foreclosure.

Loans 52

Loans Pre-approval Debt-to-income ratio VA loan 52