Tag: Home Mortgage

How to Read Your Credit Report

How to Read Your Credit Report

Do you know your current credit score? Before you even look at properties, if you are taking out a home loan, you will need to obtain a loan pre-approval. There are various factors that determine what you can afford and your credit score plays a big factor. Some buyers think they can afford more, or that their credit score is better than it is, so it is a good idea to obtain your credit score as soon as possible.

Learn more about your credit report from this Time video:

Home Loan in Process? Some Things to Know…

 

While your loan is in process there are a few housekeeping tips to remember, from Rebecca, our office PHH/Coldwell Banker Home Loans Mortgage Advisor…

1)Please do not incur any new debt while your loan is in process including increased credit card debt.

2) If you are retaining another home you will need 6 mths reserves for each retained home (these funds can be from your 401k)

3) If you are not retaining a home you will need only 2 mths reserves for conventional financing

4) Any large deposits other than your pay check into your bank account will need to be sourced and documented. Along with a letter of explanation.

5) Gift funds are acceptable as long as you have 5% of your own funds.

If you are buying new construction please send in updated bank statements each month and a updated pay stubs.

6) If there is a change in your job please notify us immediately. (we will need 30 days worth of pay stubs)

7) If you gave earnest money to the builder or agent to purchase a home, please send in the bank statement (s) showing those funds clearing your account.