Frequently Asked Questions
Q: Am I qualified and how much can I borrow?
A: I would need to take a loan application over the phone, or have you submit the loan app form, to get you a preliminary answer (prequalification). From there, I would need a bunch more info and documentation to get you a real answer (fully underwritten preapproval). Whether you are qualified at all, and for how much, is largely a function of your current income, income history, credit score, credit history, appraised value of the property, and for purchases, the purchase price and how much you have for a down payment. A longer list of factors go into credit decisions.
Q: How much do I need to put down?
A: Same answer as the last question.
Q: Can I get a mortgage even if I have bad credit?
A: It depends how bad. Strong income history and no mortgage related credit items helps with having a low credit score.
Q: Can I get a mortgage even if I’ve had a bankruptcy or foreclosure?
A: Time heals all wounds. If you have a bankruptcy that hasn’t been discharged or foreclosure very recently, then you’re probably not getting any new mortgage right now. Lenders have seasoning periods, a certain number of years since a bankruptcy was discharged or since a foreclosure transacted, after which they will lend to you again. I’ve seen no seasoning before for Chapter 13 discharge. Chapter 7 discharge and foreclosures have a longer seasoning period.
Q: Can I get a mortgage even if I don’t have a high income?
A: Yes, but the maximum amount you qualify for will be a function of your monthly income vs. your monthly mortgage payment and outside liabilities.
Q: Can I get a mortgage even if I am self employed?
A: Yes, but you need to have documented income and it has to go back a little further than it would for W2 job income.
Q: Can I get a mortgage even if I have little money for a down payment?
A: You generally need some money to put down, but there are lender programs, and state / local programs to help with down payment assistance and it is sometimes possible to get a purchase mortgage with little money down.
Q: Can I pull some money out of my house via refi or HELOC?
A: Yes if you are qualified to borrow more than you already owe on the house, and your house appraises at high enough value.
Q: Am I paying extra to work with a mortgage broker instead of a mortgage lender?
A: Usually not. Many lenders ‘with no broker fee’ earn their keep by immediately selling the loans at a premium, often to the same wholesale outlets we work with . A Mortgage Broker can help you save money by having the flexibility to choose between different lenders to fund your loan.
Q: Can I apply without you pulling credit, or can you do a soft pull?
A: I can answer questions generally without pulling credit, but I can’t get you a pre-qualification, let alone a pre-approval with exact terms, without a pulling a tri-merge credit report. Sorry.
Q: Can you answer some more questions please before I apply for a loan and have you pull credit?
A: Sure. Call me: 609-468-9324 or email me: rick@bagelbackhome.com
Q: Can you take a loan application over the phone instead of the online form?
A: That’s fine. Call me: 609-468-9324.
