{"id":1552,"date":"2020-10-07T18:21:48","date_gmt":"2020-10-07T18:21:48","guid":{"rendered":"https:\/\/www.voozon.com\/?p=1552"},"modified":"2020-10-07T18:21:48","modified_gmt":"2020-10-07T18:21:48","slug":"put-the-house-on-it-5-things-that-can-affect-a-mortgage-application","status":"publish","type":"post","link":"https:\/\/www.voozon.com\/put-the-house-on-it-5-things-that-can-affect-a-mortgage-application\/","title":{"rendered":"Put the House on It: 5 Things That Can Affect a Mortgage Application"},"content":{"rendered":"
Looking for a house is a thrill. You get to tour<\/a> homes, play designer, and envision a happily-ever-after. Yet in 2018, roughly 40% of Americans reported that buying a home was the most stressful event<\/a> in modern times.\u00a0Why is that?<\/p>\n Money. Most people can’t envision\u00a0where they’ll be in a year, let alone\u00a0the concept of paying\u00a0for a mortgage for thirty years.<\/p>\n But today, with mortgage rates at an all-time low, the price is right to buy. So what\u00a0are the five things you can do to\u00a0ensure your mortgage application shines bright on a lender’s desk?<\/p>\n The first major red-flag on a mortgage application is if you’ve accrued significant debt with no clear end-date for paying it off. A lender needs to ensure you’ll be capable of paying them back in a timely manner.\u00a0Even if you’re likely to receive pay-increases over time, if you aren’t able to pay your debts immediately, they’ll likely pass.<\/p>\n If your ratio is out of wack, here’s a great guide on\u00a0why is finance so important<\/a>.<\/p>\n The lender looks at this to see if you have a history of paying back debts. A higher credit score will ensure you get a lower\u00a0interest rate, so make sure to check your credit before going into the application process. Free copies of your credit report can be found at annualcreditreport.com<\/a>.<\/p>\n Lenders can offer numerous statistics on mortgage payments, depending on what percentage of the home’s cost you’re willing to put down. The standard options are 3%, 5%, 10%, and 20%.<\/p>\n To avoid an additional cost, mortgage insurance, you’ll want to try and put 20% down. Don’t blow your savings on a down payment, though. You should save some reserves for emergencies and a lender won’t make this decision for you.<\/p>\n\n
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