If a mortgage doesn’t comply with the Qualified Mortgage Rules, it’s a non-qualified mortgage. Don’t think of it as a ‘bad loan,’ because it’s not. Instead, it’s an alternative loan that lenders don’t sell on the secondary market. It’s good for borrowers that don’t meet the strict QM guidelines and need a little leeway for […]
What is a Wrap Around Mortgage?
If you are trying to sell your home, yet you can’t find buyers with bank approval or you are a buyer and can’t get financing, you have one more option. It’s called the wrap around mortgage. As the name suggests, the mortgage wraps around the current mortgage that the seller holds. It’s not common practice, […]
What are the Advantages of Using a Mortgage Broker?
When you shop for a mortgage, you have several options regarding who you can use. There’s your typical bank, such as where you hold your checking or savings account. You can also check out local credit unions, mortgage companies, and even a mortgage broker. Compare Offers from Several Mortgage Lenders. The broker is a company […]
How Does a Purchase Money Mortgage Work?
If you can’t secure a mortgage the traditional way from a bank, don’t assume that you are out of luck. There’s one more way you might be able to buy a home and that’s with a purchase money mortgage. This mortgage doesn’t come from a bank. Instead, it comes from the seller himself. Compare Offers […]
Residential Lending Options for Self Employed Borrowers
Self-employed borrowers often feel at a disadvantage when looking for a home loan. Without a W-2, they often feel that they cannot get a loan. With stated income loans gone by the wayside, where does this leave those working for themselves? The good news is that there are plenty of options for borrowers working for […]
Qualifying for a Home Loan With a High Debt-to-Income (DTI) Ratio
Lenders look at two main factors when deciding if you can afford a home loan – your credit score and your debt-to-income ratio. Of course, they look at other factors too, but these are the most important. If you have a low credit score or a high DTI, it automatically sends up a red flag, […]
Does Child Support Count as Income for a Mortgage?
Applying for a mortgage means you must prove that you have enough income to support the payment. Sometimes you might find yourself right at the border between approval and denial. If you receive child sport, you might wonder if you can use it for qualifying purposes. Get Matched with a Lender, Click Here. In some […]
What are Your Mortgage Options if you Have a High DTI?
When you apply for a mortgage, your lender will look at a variety of factors, including your debt-to-income ratio. If it’s too high, chances are you won’t get the loan. Each loan program has requirements regarding the DTI. Get Matched with a Lender, Click Here. So does a high DTI mean you can’t secure a […]
When is Your First Mortgage Payment Due After Closing?
You may get more time than you think to make your first mortgage payment after the closing. You would think it would be due the 1st of the month following your closing, but it’s usually not. Luckily, you get an entire month before you have to make that first payment. Get Matched with a Lender, […]
Understanding the “Three Cs” of Mortgage Loan Underwriting
Every lender looks at a variety of factors when considering your loan application. While each lender has different underwriting requirements, every lender considers three factors. In the mortgage industry, they are known as the ‘three C’s.’ Looking for Current Mortgage Interest Rates? Click Here. The ‘three C’s’ are credit, capacity, and collateral. We look at […]