| Frequently Asked Questions |
| What is required to become preapproved for a mortgage? The items required to become preapproved for a mortgage can vary depending on the program and lender. This is why a complete consultation is recommended in order to assure that the right mortgage has been selected for your personal scenario. Many clients need to supply the following documentation, along with having a credit report completed by Mortgage Master Service Corporation: Last paystub (showing year to date income) 2003/2002 W-2s or 1099's Most recent bank statements, or other asset accounts that may be used for the down payment If self-employed*, the last two years of business and personal complete tax returns *Some self-employed clients prefer a "No Income" or "Stated Income" loan in order to avoid supplying the additional paperwork. |
| Do you have more questions about the mortgage or real estate process? Email Rhonda! |
| How can I get a quote on mortgage interest rates? Interest rates for mortgages can be quoted many different ways. Some loan officers quote rates with or without points and with varying loan fees. The loan program, amount of down payment, lock period and credit scores are just some of the factors that impact the interest rate. In addition, interest rates can and often do adjust throughout the day. The best way to receive an interest rate quote is to contact Rhonda Porter at Mortgage Master Service Corporation so that your information can be reviewed and the most accurate rate can be quoted. With your rate quote, a Good Faith Estimate with a Federal Truth in Lending will be emailed to you detailing the proposed loan scenario. |
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| I'm thinking about buying a house, what should I do? Getting prequalified, before you start looking at houses or condominiums, is a smart move. In fact, I recommend getting prequalified before you contact a Realtor to show you properties. In order to become prequalified, a loan officer conducts a simple interview consisting of information about the home buyer's income, job history, how much money they plan on using for down payment and where the down payment is coming from as well as what type of loan programs they are interested in. When I do a consultation, I also try to get a sense of what my clients financial long term and short term goals are since that can impact the type of mortgage that should be considered. Once someone has been prequalified, they will have a sense of how much home they can afford, what the sales price is, the mortgage payment per the loan program, and what the closing cost will be associated with the transaction. I often help clients as early as 1-2 years before they buy a home...it's never too soon to start the prequalification process. I'm happy to work with clients to develop a plan on becoming a homeowner. For a FREE prequalification...click this link! The next step after getting prequalified would be to become "preappoved". Many Realtors will require that a potential home buyer become preapproved and receive a "preapproval letter" from their lender prior to showing them homes. A preapproval letter often accompanies the purchase and sale agreement and can give a home buyer a distinct advantage over other offers. If you are considering buying a home, or refinancing, here are a few important tips: Contact Rhonda Porter to schedule a mortgage consultation. Do not take on additional monthly debt. Delay buying that new car or charging on your credit cards. Make all of your monthly payments on time. The healthier your credit is, more programs and better interest rates will be available to you. Try to save additional money for your down payment and closing costs. Do not quit or change jobs. There are programs available without a job history. However, the interest rates are higher and there is a larger down payment required. |
| How can I improve my credit score? Credit scores are becoming more important in the mortgage industry today and also impact your interest rates with your credit cards, auto loans and may even impact your home owner's insurance rates. The data used to complile your credit score (also referred to as a FICO score) is based on information creditors report to the three main credit bureaus: Equifax, Transunion, and Experian. Here are some key factors to maintaining a healthy score: Pay your bills on time. Even one late in the past 12 months can be damaging. Keep balances low on revolving (credit card) accounts. Outstanding debt which is more than 30% on revolving accounts may lower your score.. Don't credit "surf". Transfering balances, opening new lines of revolving credit or applying for new credit cards or loans can also lower your credit score. Make sure your credit records are accurate and protect them. It is important to review your credit report yearly to make sure it is correct. If your credit is less than perfect, don't despair. There are often times mortgages available to you. Having better credit allows you to have more desirable loan programs and interest rates. |
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