FAQs

Qualification

What credit score do I need to qualify for a mortgage?

While minimum credit scores vary by lender and loan type, aim for at least 620 for conventional loans. FHA loans may allow lower scores. A higher credit score often gets you better interest rates.

I'm self-employed, can I still qualify?

Absolutely! Lenders primarily focus on consistent income. Be prepared to provide at least two years of tax returns, and potentially bank statements, to verify your income.

How do I get the best interest rate?

Rates depend on market conditions, but here's what helps:

  • Higher credit score

  • Larger down payment

  • Shopping around with multiple lenders

  • Considering "buying down" the rate with points (upfront fee)

Costs

How much of a down payment is required?

Down payment requirements vary. Some conventional loans allow 3% down, FHA loans 3.5%. VA and USDA loans may offer 0% down for eligible borrowers. Larger down payments lower your monthly payments and overall interest cost.

Does my income and debt affect my eligibility?

Yes! Lenders look at your debt-to-income ratio (DTI). Calculate this by dividing your total monthly debt payments by your gross monthly income. Most lenders prefer DTIs under 43%, with some flexibility depending on other factors.

Process

How long does the mortgage process take?

Typically 30-45 days from application to closing, but this can vary. Pre-approval can speed things up. Factors like property type, documentation, and lender workload all play a role.

What documents will I need to provide?

Be prepared with pay stubs, W-2s, tax returns, bank statements, asset statements, and potentially proof of other income sources (rental, investments, etc.).Once we start working together we will provide you with a specific list.

What are the different types of mortgage loans available?

Common types include:

  • Conventional: Not government-backed, various down payment options

  • FHA: Government-backed, allows lower credit scores

  • VA: For eligible veterans and active-duty military

  • USDA: For rural area properties, income limits apply

What are closing costs and how much are they typically?

These are fees associated with finalizing a mortgage (appraisal, title, underwriting, etc.). They typically range from 2-5% of the loan amount.

Are there any fees associated with your services?

While we don't charge direct fees to our clients, our services are compensated within the loan structure. We'll provide a clear breakdown of all costs and how our compensation works before you proceed with the loan.

Can you offer an estimate of my monthly mortgage payment??

Absolutely! We have online calculators, or I can provide you with a personalized estimate based on the loan amount, interest rate, and loan term.

Ready for expert guidance and personalized mortgage solutions?

We're here to help you navigate the process with ease. Call us for your free consultation: (512) 960-3211