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Knowing what you can
afford is the first rule of home buying, and that
depends on how much income and how much debt you have.
You might have an
idea of the loan payment and mortgage you can afford.
It's always best to pre-qualify for a mortgage so you
know exactly how much a financial institution would be
willing to lend you.
Ways
to improve your "FICO" score
What's more, a
pre-approved mortgage loan helps you negotiate with
the seller from a position of strength, much the same
as a cash buyer. And getting your mortgage loan
pre-approved is easy. This program is available on all
conventional fixed, adjustable rate, and balloon
mortgages.
The Beaches Realty
Group will be happy to calculate what you can afford
and pre qualify you for a loan.
“Call Kathy for information on an exciting loan program offered by a Non Profit Organization; to qualify for a purchase: the Purchase Price/Mortgage amount cannot be any higher than $294,500, must be Owner Occupied, NO Down Payment, NO Closing Costs, NO Processing Fees, NO Credit Score or Low Credit Score, OK!
If you qualify, they will refinance your primary residence, with the above criteria, as well!”
Beware of
Automatic Approval Systems on the Internet
The hard fast rule
of ratios the Internet Automatic Approval Systems
use no longer apply as they did in the past. One needs
to look at many compensating factors such as the
amount of liquid assets, 401k funds, and any other
type of cash 'reserve' monies. If someone makes
$10,000 a month, for example, they could quite
possibly have a back ratio of 75%, (all debt + new
total house payments divided by gross income). To
achieve that ratio one has to take into consideration
whether their scores were high enough (over 720),
whether their cash reserves are well over 6 months of
salary and whether the amount of down payment is high
enough to achieve a high back ratio.
These are all reasons
to call a mortgage professional and not just fill out
a pre-qualification form on the Internet.
Katherine
Karr-Garcia's dual-licensed status, as a Realtor and a
Mortgage Broker, is the catalyst which allows her
to provide you with optimal loan options that will
meet your needs.
The price you can
afford to pay for a home will depend on six factors:
1. gross income
2. the amount of cash you have available for the down
payment, settlement costs
and cash reserves required by the lender
3. your outstanding debts
4. your credit history
5. the type of mortgage you select
6. current interest rates
Another ratio lenders
use to evaluate how much you can afford is the housing
expense-to-income ratio. It is determined by
calculating your projected monthly housing expense,
which consists of the principal and interest payment
on your new home loan, property taxes and hazard
insurance (or PITI as it is known). If you have to pay
monthly homeowners association dues and/or private
mortgage insurance, this also will be added to your
PITI.
In the
pre-qualification process, you will find out:
- Exactly how much home or land you can afford.
- How much cash you will need for the down payment.
- The minimum down payment, and advantages of higher
down payments.
- What the bank feels you can afford for a monthly
payment.
We help buyers pre-qualify for mortgages every day.
Call The Beaches Realty Group TODAY to get started.
Remember: we will respect your privacy! We know this
is your personal information, and we will not
distribute it to anyone. This service is also provided
free of charge, without any obligation on your part.
For more details or to arrange an appointment call The
Beaches Realty Group TODAY at 904-249-2299. Let
us help you get the money you need.
Finding a Loan
That's Right for You
Finding the right
loan doesn't have to be a difficult process. Call us
today! We will ask you some basic questions about the
kind of loan you are looking for, and what your
requirements and goals are. Based on your information,
we will find loan options that meet your needs and
display them side by side for easy comparison.
This process only
takes a couple of minutes while we help you find the
loan choice that's most economical for you.
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