Prequalify for a Home Loan Before You Start Home Shopping

Why get pre-qualified by a lender before looking for your next home? Based on my first hand experience with clients, I have found several compelling reasons for home buyers to get pre-qualified for a loan. 1) You’ll uncover credit problems. In the ideal world, you’d contact your lender 6-9 months in advance to see what […]

Income Requirements to Buy a Home

It’s not all about the take-home pay when buying a home.  Banks look at both your INCOME and DEBT when deciding whether you qualify. They rely on two ratios, often called the “front-end” debt-to-income (DTI) ratio and the “back-end” debt-to-income ratio. You can calculate these ratios yourself and determine how much home payment you can […]

Comparing Loans: How to Compare Mortgage Companies and Loan Products

Even after hundreds of Mortgage companies went out of business during the real estate bust of 2006-2008, there are still plenty of mortgage companies out there. Should you shop around? Probably, but the shopping process is time consuming and should be done quickly, as interest rates change daily. Unfortunately, the plethora of loan programs out […]