FAQs

No, various loan options allow for lower down payments, including some with as little as 0%, 3%, or 5% down, depending on your qualifications. Certain programs even provide down payment assistance. These alternatives have made homeownership more accessible, especially for younger generations. According to the National Association of Realtors, millennials represented 43% of homebuyers in 2022, the largest share of any generation. For comprehensive details on down payment options, we suggest reaching out to our mortgage lenders.

A pre-qualification offers an initial estimate of what you might afford, based on unverified data like estimated credit score, income, and debts. It gives a general sense of potential loan amounts and appropriate programs. Conversely, a pre-approval involves a more detailed process. This includes a complete review of your credit scores, income documentation (such as paystubs or tax returns), and assets. Employment verification may also be conducted to confirm income details and work history. This process results in an official confirmation of your borrowing capacity.

Upon completing your pre-approval process, you will receive an estimated payment and price range to assist in your home search. You can explore properties up to the pre-approved amount, considering your comfort level with the projected monthly payments. For additional information on the pre-approval process and its relation to affordability, please contact our mortgage lenders.

Yes, individuals with an ITIN (Individual Taxpayer Identification Number) are eligible for home mortgage loans for both purchases and refinances. DACA (Deferred Action for Childhood Arrivals) recipients can qualify for most loan types, provided they possess an EAD (Employment Authorization Document) card with C33 status and a valid government-issued social security number.

Yes, student loans do not automatically disqualify you from purchasing a home. Qualified borrowers with student loans that are current, deferred, or on payment plans can still qualify for home mortgages. Our lenders can evaluate your specific circumstances and explore suitable loan options.

Yes, purchasing a house after bankruptcy is possible, though waiting periods apply. For some programs, eligibility may begin as soon as one year after a chapter 13 bankruptcy. Government loan programs typically require a two-year wait, while other loan programs may necessitate up to four years. For specific information about home mortgage loans post-bankruptcy, we recommend contacting our team.

Credit score requirements vary by loan program. Some programs might accept applicants with no credit score, while others may require a minimum score as low as 580. Our mortgage lenders can help identify the most suitable program based on your individual credit profile and other qualifications.

Changing jobs does not necessarily impede your ability to buy a home. Generally, it’s not an issue if there are no significant gaps in employment and the change led to higher pay, was due to a life event, or improved working conditions. The essential requirement is that all borrowers should have at least two years of work history. For recent college graduates, academic transcripts may substitute for job history.

The debt ratio is a financial metric utilized in mortgage lending. It's determined by dividing your total monthly debt obligations (including those reported on your credit report and any unreported government obligations like taxes, child support, or alimony) by your monthly income. This ratio is crucial in assessing your loan eligibility and the amount you can afford for home mortgage loans.

Closing costs are additional fees paid at the time of property purchase, separate from your down payment. These costs typically range from 2% to 4% of the property's sales price. They cover various expenses such as third-party fees, prepaid interest, home insurance, property taxes, appraisal inspections, flood insurance, and loan fees. For a detailed breakdown of closing costs specific to your situation, we recommend contacting our local mortgage lenders.