What will a lender look at when I apply for a mortgage?
Lenders consider many factors when evaluating your loan application, but they usually focus on four areas:
Income and debt: How much money you make and what other bills you have to pay helps the lender determine if you can afford to make mortgage payments.
Assets: This assures the lender that you have enough money to cover the costs of buying a home.
Credit: Whether or not you’ve met past financial obligations helps the lender predict whether you will repay your mortgage.
Property: The home you want to buy has to be worth enough to act as collateral for the mortgage.
Again, loan decisions are often unique, so if you’re unsure of if you’ll qualify and how much mortgage you can afford, call us today for advice custom to you.