Being pre-qualified is based on your provided information, which will then give you an estimate on the amount that you are able to borrow. A Pre-approval means that your information is evaluated thoroughly. It is a closer estimation of how much you will be approved for.

You [and your co-borrower, if applicable] will need the following documents when applying for a loan:

• Social Security Number
• 2 Years Proof of Employment (If self-employed then please provide most recent 2 years business tax returns and current YTD profit/loss statements as well as balance sheets)
• 2 Most Recent Paystubs
• 2 Most Recent Years of Tax Documents (W-2 statements and tax returns)
• Bank Account Information (2 Most Recent months of asset statements-checking, savings, retirement, etc.)
• Credit Information (Provide details of any new accounts or accounts not currently reporting on your credit report such as: )
• Monthly Expenses (Housing, etc.)

An appraisal is the process of having a licensed and trained individual report on the worth of a home. This individual is completely unbiased and will be able to provide the lender, buyer and seller an accurate value of the home. Having an appraisal done on the home establishes protection for all parties involved. They will determine if repairs are needed, if the price is fair in comparison to other homes within the area, and a detailed report calculating the true value of the home.

An interest rate is the amount it will cost you to borrow the principal loan amount. It could either be a variable or fixed amount and will always be expressed in percentage form. An APR measures a mortgage and includes the interest rate plus discount points, closing costs and broker fees. APR's are expressed in percentage form.

• Loan Origination fees
• Appraisal fees
• Discount Points
• Title Insurance
• Taxes
• Surveys
• Credit Report charges
• Deed-recording fees
• Title Searches

Refinancing is when you replace your current loan with a new loan. This new loan should include improved terms and features than the prior loan. If your current loan is too expensive or risky, then you should look into refinancing. Typically, refinancing is beneficial because you can:

• Save money
• Lower your payments
• Shorten your loan term
• Change your loan type
• Consolidate your debts
• Pay off a Loan with a Due-date or balloon payment

Yes, you can qualify for a mortgage as long as the seasoning requirements for the specific loan type have been met. This is something you can discuss with your Loan Originator in detail.

Getting pre-approved is the #1 most important thing you should do before you even look at the first house. It is important for you to know if you qualify and how much home you can afford. Having the information you need will allow you to look in the right price range of homes and save you a lot of time and disappointment. To get absolutely correct information you must work with a mortgage professional that will fully analyze your income and credit to guarantee your success in finding the right home for you. Do not settle for a phone conversation and a credit pull with a lender. It is important to talk to a lender that will take the time to do a complete analysis of your income, assets and credit. Talk to Tina first!

Most mortgage payments are due on the 1st of the month and late after the 15th. You have a grace period of 15 days before you are considered late. If your payment arrives after the 15th, you will be assessed a late payment fee. However, if you are more than 30 days late your credit will take a beating, and that could potentially cost you more on other types of credit. You must prioritize your mortgage payment every month and make sure it is paid on time. It is the most important payment that will impact your credit report!

There are two important steps to take in determining your monthly payment. The first step is always to speak with a mortgage professional to determine how much you can qualify for. Correct information will only come from a complete pre-approval process and not from any calculators on the internet. Once you know what you qualify for, then you must take a look at your budget to determine for yourself the monthly payment you can handle comfortably. Talk to Tina for your free assessment.