bharatbhasha.com
Free Articles  >>  Business And Finance >>  Page 3907  >> 

Buying A New Home How To Get Pre Qualified For A Home Loan





If you are hoping to speed up the home buying process, you may consider getting pre-qualified for your home loan. With a pre-qualification letter in hand, real estate agents and sellers will take you more seriously. Furthermore, sellers may readily accept your offer over another bidder because financing is partially secured.

Select a Good Mortgage Loan Lender

Pre-qualification letters are issued by mortgage lenders. Before applying for a home loan, research different lenders and inquire of their services. The easiest and fastest way to compare different lenders is through the internet. Using online services to secure a home loan is very convenient. Moreover, using a mortgage broker to locate a good lender will save time.

There are lenders for every credit type. Hence, if you have poor credit or no credit history, it is possible to get pre-qualified for a mortgage. In this situation, a sub prime lender or high risk lender will offer the best rates.

Provide Mortgage Lender with Documented Information

After selecting a good mortgage lender, the lender will request specific information. This information is necessary is order to complete the pre-qualification process. Before approving your request, the lender must ensure that you are capable of handling a mortgage payment.

For that matter, you must provide total monthly income and total monthly debts. Paycheck stubs or banking statements are acceptable. To determine your total debt to income ratio, you must also tally credit card and other consumer debts. If you have a low debt to income ratio, you will qualify for lower rates. If you have excessive debts, the lender will consider you a higher risk, and increase the interest rate.

Mortgage Lenders Review Credit Rating

Finally, before a pre-qualification letter is issued, the mortgage lender will pull your credit. Credit scores carry a lot of weight. Individuals with low scores rarely obtain a good interest rate. Upon reviewing your credit, lenders will know your amount of credit inquiries, credit accounts, balances due, derogatory remarks, etc.

After the lender approves your request for a pre-qualification, they will prepare a letter for sellers. The pre-qualification letter simply states that an applicant's income and credit have been verified, and the applicant is pre-qualified for a loan. However, pre-qualification letters do not guarantee a loan.


About Author Carrie Reeder :

View our recommended <a href="http://www.abcloanguide.com/mortgageloans.shtml" target="_blank">http://www.abcloanguide.com/mortgageloans.shtml</a> online. Do you have credit problems? View our list of <a href="http://www.abcloanguide.com/badcreditmortgage.shtml" target="_blank">http://www.abcloanguide.com/badcreditmortgage.shtml</a> lenders online.


Article Source: https://www.bharatbhasha.com
Article Url: https://www.bharatbhasha.com/finance-and-business.php/37319


Article Added on Tuesday, February 7, 2006
LD
Other Articles by Carrie Reeder

Buying A Home After Bankruptcy Low Credit Score Mortgage Loans
Excellent credit is not required to buy a home. Of course, a higher rating will qualify homebuyers for a low rate and better loan programs. Still, buying a home after bankruptcy is easy. Although home loans following a bankruptcy discharge come with high rates, a home purchase is a great way to quickly boost a low credit rating. Here are a few tips on getting a low credit score mortgage loan. Sub Prime Mortgage Loan Programs There are many options available to homebuyers with a low credit...

Home Equity Loans Tax Deductions What Are The Tax Advantages Of A Home Equity Loan
Depending on how you used your home equity loan, there are a number of tax deductions available for your home equity loan interest. The largest deductions are available for home improvements. However, for loans used to consolidate debt or pay for college, you can still deduct interest with some limits. And if you use the loan for investment purposes, you can also deduct interest charges. Home Equity Loans Used For Home Improvements Interest on home equity loans used to build or improve a...

Home Equity Debt Consolidation Loans 3 Things To Know
Decided to consolidate your debt with a Home Equity Loan? That may be a very smart idea! Consolidating your debt allows you to make just one monthly payment, and home equity loans tend to have low interest rates and tax perks too, which could save you money. But before you borrow from the equity in your home, remember these three things: It's not available to everyone. Just because you own your home doesn't mean you'll be able to get a Home Equity Loan. The equity you have equals the value...

First Time Home Owner Mortgage Loans
First time home owners are sometimes surprised at the complexity of the mortgage lending process. If you are searching for a mortgage and you have never owned a home, there a few things you can do to make the mortgage process less confusing. First time home owners should educate themselves on the home-buying experience before contacting mortgage lenders. There are many choices in obtaining a first time home owner mortgage loan. Friendly mortgage professionals are available to assist you in...

100 Mortgage Financing No Money Down Programs
Buying a new home with no money down has never been easier. If you are unfamiliar with 100 mortgage financing, it may help to contact a mortgage broker before applying for a conventional loan. At one point in time, buying a home with no money down was unheard of. Today, the majority of mortgage lenders offer a range of zero down loan programs. These loans are ideal for families trying to buy a home with little or no money for a down payment. Benefits of 100 Mortgage Financing The benefits of...

100 Home Equity Loans Should You Max Out Your Home s Equity
A 100% home equity loan can free up your cash at a low interest rate. While favorable rates and tax benefits make this option look good, consider your own financial situation first. Asking yourself the following questions will give you a better idea of how much a 100% home equity loan can help you. How Cheap Is Your Loan? Is the APR on your prospective home equity loan better than what you can find for a personal loan or a credit card? Chances are that home equity loan rates are better. If...

Mortgage Loan Information Know The Basics When You Refinance Or Purchase A Home
If you are currently looking for a new home, chances are that in all the excitement you won’t really give any thought to the type of home loan mortgage you take out, instead going with the first one offered to you. This could be a serious mistake – costing you thousands, if not tens of thousands. Make sure you know all about the different types of home mortgage loans before you starting looking for that new dream home! Here are some of the basic types of mortgage loans: Fixed-rate home loan...

Debt Consolidation Loan For A Home Owner 3 Things To Consider
If you want to consolidate your debt--and you own your own home--you're in luck! If you're willing to use your house as collateral, you have a lot of low-cost options for debt consolidation. Here are three loans to consider: Second mortgage A second mortgage is, essentially, another mortgage on a home that already carries a mortgage loan. The second mortgage takes a backseat to the first one, so it's a bit riskier for lenders. Because of this additional risk, second mortgages usually carry...

Poor Credit Home Equity Loans Avoiding Home Equity Loan Scams
Obtaining a home equity loan makes it possible to payoff credit cards, finance a home improvement project, etc. In fact, one of the benefits of homeownership is being able to tap into your home's equity for large expenses. Many lenders offer great rates on home equity loans and lines of credit. Yet, homeowners should beware home equity loan scams that place them at risk of losing their home. Understanding Home Equity Basics A home equity loan is essentially a personal loan that is secured by...

Bad Credit Mortgage Lenders Finding A Home Loan With Bad Credit
UWith hundreds of subprime lenders online, you can quickly find a home loan with bad credit. Taking the time to get your financing first will save you both time and money. You can also select loan terms that best fit your budget needs. Start with recommended lenders, and then expand your search. In less than a day, you can start your loan application and be on your way to buying a home. Before You Buy A House, Get Your Financing Lined Up Before you start shopping for a house, take some time...

Click here to see More Articles by Carrie Reeder
Publishers / Webmasters
Article ID: 37319
DELINK URL from Authors Bio
REMOVE Article
Tell A Friend
Leave A Comment!
Download this article in PDF
Report Article!
Search through all the articles:


186 Users Online!!
Related Articles:
Latest Articles:
 
Business And Finance >> Top 50 Articles on Business And Finance
Category - >
Advertising Advice Affiliate Programs Automobiles
Be Your Own Mentor Careers Communication Consumers
CopyWriting Crime Domain Names DoT com Entrepreneur Corner
Ebooks Ecommerce Education Email
Entertainment Environment Family Finance And Business
Food & Drink Gardening Health & Fitness Hobbies
Home Business Home Improvement Humour House Holds
Internet And Computers Kiddos and Teens Legal Matters Mail Order
Management Marketing Marriage MetaPhysical
Motivational MultiMedia Multi Level Marketing NewsLetters
Pets Psychology Religion Parenting
Politics Sales Science Search Engine Optimization
Site Promotion Sports Technology Travel
Web Development Web Hosting WeightLoss Women's Corner
Writing Miscellaneous Articles Real Estate Arts And Crafts
Aging


Disclaimer: The information presented and opinions expressed in the articles are those of the authors
and do not necessarily represent the views of bharatbhasha.com and/or its owners.


Copyright © AwareINDIA. All rights reserved || Privacy Policy || Terms Of Use || Author Guidelines || Free Articles
FAQs Link To Us || Submit An Article || Free Downloads|| Contact Us || Site Map  || Advertise with Us ||
Click here for Special webhosting packages for visitors of this website only!
Vastu Shastra

Bulk Email Solutions India Provided By AwareIndia







Company IDS