Two of the most common terms you will hear in the mortgage industry is prime and subprime. The two terms both refer to types of mortgages. However, they mean very different things. You either fall into one category or the other, rarely do people fall into both categories. There is not one category of loans […]
The Important Role Rent Payments Play in Mortgage Approval
Whether you have a long credit history or not, the one thing lenders look to first is your housing history. This could mean mortgage or rent payments – the key factor is that you have consistency and responsibility in understanding the burden that housing payments can put on a person’s budget. Rent is no different […]
How the Ability to Repay Rule Affects Subprime Loans
Believe it or not, subprime loans are still around – they just have a different name. Yes, the requirements are a little stricter than they were before, but not by a lot. They are not required to follow the same guidelines as conventional loans that must meet the Qualified Mortgage Guidelines, which means that your […]
How to get Around Standard Income Verification
The Dodd-Frank Act has made it virtually impossible to obtain a mortgage loan without qualifying your income via standard means – such as W-2s, income tax returns, and pay stubs. But, there are ways to get around it and still obtain a mortgage for your primary residence. It’s true that the new regulations definitely make […]
What’s the Definition of Bad Credit?
When you apply for a mortgage, you always hear the term, “good credit” being thrown around. But what exactly is good credit? Is there a matrix that you can compare your situation to in order to see how you stack up? How do lenders decide who has “good credit” and who has “bad credit”? Good […]
How Bankruptcy Affects your Chances at a Mortgage
Bankruptcy is an unfortunate fact in millions of American’s lives today thanks to the housing and economic crash everyone experienced a few years back. What was once a devastating event that set you back for at least 10 years is now a common sight in many households and one that you can work around rather […]