How Lenders Decide Your Maximum Loan

Posted on September 24, 2019 by gwbittner1

Lenders Use Debt Ratios to Decide Your Maximum Loan

They look at the amount of money you earn each month, in relation to your recurring debts. To calculate your DTI ratio, you would simply add up all of your monthly debt payments and divide them by your gross monthly income.

Fixer-Upper Financing

Posted on August 27, 2019 by gwbittner1

Can you finance a Fixer-Upper ?

The FHA 203(k) is a mortgage and home improvement loan all in one.

You can replace a roof or replace the windows to conserve energy. Why not paint or put new siding on the home and give it a fresh new up to date look. You can put in your dream kitchen. Maybe new flooring, carpet or tile would be just the thing to make the home look amazing. Why not replace the electrical and plumbing in the home while you are at it.

What ever the case may be your needs can be addressed with this type of loan.

Information provided by Ed Muchnick, Gateway Mortgage

Low Down Payments

Posted on August 20, 2019 by gwbittner1

Are you wondering how much you need to save for your new home? It may not be as much as you think.

0 DOWN

The VA and the USDA both offer a zero down loan program for individuals and/or properties that meet their criteria. Sometimes, loans require little or no cash out of pocket. Some HUD properties are available with as little as $100 down

3%

Some Fannie Mae Community and Home Path ® programs allow just 3% down. You may even be able to fund your down payment through gifts, grants, employers, government agencies, unsecured loans from family or even with loans against CDs or retirement accounts.

3.5%

The FHA loan program allows as little as 3.5% down, and it is more lenient than most other programs on minimum credit scores.

5%

Fannie Mae / Freddie Mac conventional loans are available with down payments as low as 5%. The minimum changes based on property type, credit score, occupancy, etc.

ARE YOU SURPRISED at how low you may be able to go? While many believe a 20% down payment is required, you can now see that it’s far from the only option.