The journey to homeownership is often symbolized by the quest for the perfect mortgage rate, but the financial responsibility extends far beyond that ...
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A balloon mortgage can appear as an attractive, low-cost entry into homeownership, but it carries a unique set of financial risks that borrowers must ...
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The journey to homeownership culminates in two critical final steps: the final walkthrough and the review of the Closing Disclosure. While they occur ...
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Navigating the world of home financing begins with a fundamental understanding of mortgage types and terms. A mortgage is more than just a loan; it is...
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Private Mortgage Insurance, commonly referred to as PMI, is a crucial financial product that enables millions of Americans to achieve the dream of hom...
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For most homeowners, their monthly mortgage payment encompasses more than just the principal and interest on their loan. A significant portion often g...
Read MoreLenders will request your employment history on the application and then verify it. This is done through written Verification of Employment (VOE) forms sent to your employer, recent pay stubs, and W-2 forms from the past two years. They may also follow up with a phone call to your HR department.
Your local climate has a major impact on cost:
Water Needs: Arid climates require drought-tolerant (xeriscaping) plants and/or expensive irrigation systems.
Plant Selection: Plants not native to your area may be more expensive and require more care to survive.
Seasonal Labor: In colder climates, you may have costs for winterizing irrigation and removing snow.
An application can be denied for several reasons, including a low credit score, a high Debt-to-Income (DTI) ratio, unstable employment history, an insufficient down payment, issues with the property’s appraisal, or new debt taken on during the application process.
While requirements vary, a FICO score of 620 or higher is often the minimum for most traditional lenders. However, you may find alternative or private lenders willing to work with lower scores, though this will result in significantly higher interest rates.
No, receiving a Loan Estimate is not a loan approval. It is a formal offer and estimate of the loan terms and costs based on the initial information you provided. The lender has not yet completed its full underwriting process, which includes verifying your financial information and the property’s appraisal.
