Ready to Buy Your First Home or Next Home?

To determine if you qualify, lenders review your total monthly debt (proposed housing payment + regular monthly debt) as a percentage of your total gross monthly income. The acceptable percentage (DTI) will vary depending upon the specific loan program for which you apply.

 

2 Popular Mortgage Options

  • Adjustable Rate Mortgage

    An adjustable-rate mortgage, also called an ARM, is a home loan with an interest rate that adjusts over time based on the market.

  • Fixed Mortgage Rate

    Fixed rate mortgages usually have terms lasting 15 or 30 years. Throhout those years, the interest rate and monthly payments remain the same. You would select this type of loan when you:

    • Plan to live in a home more than 7 years

    • Like the stability of a fixed principal/interest payment

    • Don’t want to run the risk of future monthly payment increase

    • Think your income and spending will stay the same

What We Look At

Income

Is your income sufficient to cover monthly payments?  Industry guidelines are used to evaluate your income and your debts and look at your last 2 months of bank statements.

Credit Check

What is your ability to repay debts when due?  Your credit report is reviewed to determine the type and terms of previous loans. Any lapses or delays in payment are considered and must be explained.

Other Documentation

In some cases, additional documentation might be required before making a final determination regarding your loan approval.

Asset Evaluation

Do you have the funds necessary to make the down payment and pay closing costs?

Property Appraisal

Is there sufficient value in the property? The property is appraised to determine market value. Location and zoning play a part in the evaluation.

Loan Process

  • The first step in obtaining a loan is to determine how much money you can borrow. In case of buying a home, you should determine how much home you can afford even before you begin looking. By answering a few simple questions, we will calculate your buying power, based on standard lender guidelines.

    You may also elect to get pre-approved for a loan which requires verification of your income, credit, assets and liabilities. It is recommended that you get pre-approved before you start looking for your new house so you:

    1. Look for properties within your range.

    2. Be in a better position when negotiating with the seller (seller knows your loan is already approved).

    3. Close your loan quicker

  • Home loans come in many shapes and sizes. Deciding which loan makes the most sense for your financial situation and goals means understanding the benefits of each. Whether you are buying a home or refinancing, there are 2 basic types of home loans. Each has different reasons you’d choose them.

  • Connect with Nick Meeker to apply for a loan. He can help you get started and ensure you have what you need for a successful process.

  • Although lenders conform to standards set by government agencies, loan approval guidelines vary depending on the terms of each loan. In general, approval is based on two factors: your ability and willingness to repay the loan and the value of the property.


    Once your loan application has been received we will start the loan approval process immediately. Your loan processor will verify all of the information you have given. If any discrepancies are found, either the processor or your loan officer will troubleshoot to straighten them out.

  • After your loan is approved, you are ready to sign the final loan documents. You must review the documents prior to signing and make sure that the interest rate and loan terms are what you were promised. Also, verify that the name and address on the loan documents are accurate. The signing normally takes place in front of a notary public.

    There are also several fees associated with obtaining a mortgage and transferring property ownership which you will be expected to pay at closing. Bring a cashiers check for the down payment and closing costs if required. Personal checks are normally not accepted. You also will need to show your homeowner’s insurance policy, and any other requirements such as flood insurance, plus proof of payment.

    Your loan will normally close shortly after you have signed the loan documents. On owner occupied refinance loan transactions federal law requires that you have 3 days to review the documents before your loan transaction can close.