Mortgage 80 20 and mortgage servicing loans?
Mortgage 80 20 was a trend, an easy access mortgage loan, a lot of people would say that this mortgage is servicing the homeowners to qualify for a mortgage and get their dream home.
What is Mortgage 80 20?
First I'll tell you what it's not- it's not the mortgage financial plan you had in mind when you were thinking about buying a Home, that's for sure.
Mortgage 80 20 was a popular loan that everybody used because they didn't need to put any down payment, just come and take the keys to your dream house and it's yours. Dreams don't come easy we need to work for it, have you ever heard this saying: "what comes easy goes easy"?
That's exactly what I'm talking about, your mortgage financial plans are buying a home, pay the home and own it 100 percent- good so don't think that the mortgage 80 20 program is a good mortgage, that's why today you can't get a mortgage 80 20 loan anymore.
Consult your mortgage broker or loan officer, that's the first thing you need to do, if you know your mortgage broker or loan officer so listen to what they have to say, their mortgage financial plans for you are not a mortgage 80 20 loan, if they're good mortgage brokers and loan officers then they will recommend you on putting at least 10 percent down payment if not more to purchase a home, or in a refinance situation to not maximise the ltv(loan to value)of your Loan.
During the mortgage underwriting the underwriter normally will know if you will qualify for a loan and how much you can qualify for.
mortgage underwriting is the most important issue of all and if the underwriter will not think that the file is strong enough to qualify for a loan you will not have the money.
What underwriters want you to have, when applying for a loan?
1. High income, at least double then what you spend a month.
2. Money in the bank, so if you don't have enough money to make the payment from your salary next month at least you will have some money in the bank to make the payment.
3. That you're on title, because if you're not on title it's an occupancy issue, sometimes they will ask from you also some utility bills.
4. If you own another property they will have to know, another occupancy issue.
5. Your credit score, it's very important that your credit will be good, the underwriters want to make sure you will make the payments on time, so if you have any mortgage lates or credit cards lates you need to work on them.
6. That you had the same job for longer than 2 years, they want to know that you're stable in your life and stable job is important.
The underwriter makes the final call ,not your mortgage broker. but a good mortgage broker will know ahead what the underwiter will ask from his clients so it will save you time in the process.
Make sure you get the right mortgage broker to help you with your project so you will not waste your time and eventually not qualify because your mortgage broker has no knowledge.
1. Stay with your mortgage financial plans
2. Don't even think about mortgage 80 20 (I think it's not even exist anymore)
3. Your mortgage broker or loan officer is very important, he can kill the deal or make the deal.
Yanni Raz is a mentor for many in the Real Estate Mortgage industry, Yanni Raz is been tutoring many homeowners in California and help some also to save their homes.
http://www.fidelitymutualmortgage.com
|
