What sort of things do banks take into account when giving mortgages?

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3 Comments for “What sort of things do banks take into account when giving mortgages?”

  1. sean

    Credit rating.
    Income history.
    Debt to income ratio (calculated for after you buy the home).
    Last year’s taxes.

    There are a few other things that will hurt, like being upside-down on a home you currently own.

  2. Blaze

    …. here are some common programs you are likely to come across as you work with your real estate agent to purchase your first home:

    Federal Housing Administration (FHA): FHS mortgages allow homebuyers to purchase a home with as little as a 5 percent down payment, and to finance all non-recurring closing costs. The current maximum loan amount in most urban markets is $151,725. In addition, borrowers are allowed to use up to 41 percent of their gross income toward paying mortgage debt ? well above the ratio allowed under most private programs.

    Department of Veterans Affairs (VA): VA mortgages allow veteran or active service personnel purchase home with no down payment, up to the current maximum price of $184.000. However, there is no purchase price limitation for buyers able to make a down payment. Like the FHA program, VA borrowers can put up to 41 percent of gross income toward their mortgage debt.

  3. Just there

    Credit Score
    Two years more of full time employment
    Salary
    Debt to income ratio
    Banking history
    Where is the cash for down payment and closing costs

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