Fastest ways to get your mortgage approved

Fastest ways to get your mortgage approved

Buying a house is a very stressful process. It takes a lot of time and preparation. If you are not prepared well before you apply for a mortgage, you’ll have less chance of getting it approved. Here are some ways you can get your mortgage approved faster.

Have a good credit score

You should have your credit report ready and the credit score should be good. Before submitting an application for mortgage, review your credit report and see if it’s good enough to apply for a loan. If not, then wait for some time more, make your credit score better and then apply for the loan. You need to find out what is the minimum credit score requirement in order to apply for a loan.

Have cash in hand

You should have some cash in your hand to make the down payment before you visit a mortgage broker. On average, a minimum of 3.5% down payment is required. If you can afford, it is better to pay more as down payment. That way, your mortgage balance will go down. Besides down payment, there are some costs involved in getting a mortgage. These include fees for home inspection, home appraisals, application fees, etc. You need to pay all these before your application can be closed.

Have a full time job

You should stick to your job during the whole period of mortgage processing. If you quit your job in the middle of the process, it might affect your mortgage decision. If you switch job while your application for mortgage is still being processed, then the information you provided in your application is no longer valid. So, you need to fill in new information regarding your job and delaying the whole process.

Lower your current debt and avoid taking new debt

You don’t need to clear all the balances of your credit card, but you need to lower that balance. You debt-to-income ratio is analyzed by lenders before they give you mortgage.If you have a high debt-to-income ratio then there is high chance that your application may be rejected. Try not to make any major purchases before your mortgage application gets approved. Also, do not apply for any more credit card or loan.

Before you apply for a mortgage, it’s important that you educate yourself about the different terms and conditions of mortgage. It will save you from disappointments later.

The best ways to improve your credit rating

The best ways to improve your credit rating

Credit score is not something that you can push up instantly. It takes time to build up the record. The credit rating is made taking into account years of your past actions and present as well. Here are the best ways to improve your credit rating, if you do not have one yet.

Have control on credit card balances

The amount of revolving credit you have compared to how much you are using is a very important factor in credit rating. It is best if the ratio is 30% or lower. For a good credit score you need to pay off your balances and keep it as low as possible.

Get rid of nuisance balances

Nuisance balances are the small balances you have on different credit cards. You need to pay those off in order to boost your credit score. Instead of using so many credit cards, use one or two.

Keep old debt which were on good standing on your report

It is wrong to assume that old debt in your credit report is bad. If you get your car loan paid off, for example, don’t remove the records from your credit report. Record of good debts that you’d handled well and paid off has positive effect on your credit score. Bad debts affect your credit report negatively; however, most records are disappear automatically after seven years.

Pay your bills on time

Many people fail to pay their bills on time. You need to take this matter seriously and change your habit if you are one of those people. Your credit score will go up if you pay all your bills on time.

These are some right moves you can make to increase your credit score. You also need to be consistent with these approaches. Within a short time you will see that your credit score is getting better.

Why should anyone get a mortgage?

Why should anyone get a mortgage?

Buying homes can be costly. For most people it is impossible to buy a home without mortgage. Buying a home is one of the largest investments of your life. So, the sum of money you need to borrow is also big. Unlike other lending methods, mortage allows you to spread your debt over a very long time, mostly 25 to 30 years. As a result, you pay an affordable and manageable amount each month.

The mortgage brokers analyze your situation and offer loan in proportionate to your income. They first make sure that with your current financial condition you will be able to pay back your loan on time. It is always better to take loan for the shortest period, as you will save money on interest and also get over with the debt quickly. Mortgage makes it affordable for you to become a home owner!

Mortgage is one of the most cost-effective way of borrowing money. Mortgage interests are usually much lower than that of other kinds of borrowings. In case of mortgage, the loan is secured against your property. This means that in case you cannot repay your loan, your property can be sold to pay back the money.

The mortgage interest rates keep on fluctuating. People often go for the fixed rate mortgage as in this type of mortgage they don’t need to worry about the rate. There are other types of mortgages also to suit the requirement of different clients.

The fact is that most home buyers do not have the money to buy a house without any kind of loan. A mortgage can help you make your dream of a wonderful house into reality.

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Largest mortgage brokers in the U.S

Largest mortgage brokers in the U.S

You will find many mortgage brokers across the country. According to a recent review, here are the largest mortgage brokers in the US.

JPMorgan Chase
JPMorgan-Chase
It is the largest mortgage lenders in the US right now. The ranking is based on the total loan provided to US clients. It provides a wide range off products and promotions. Chase Mortgage’s calculators can easily calculate how much home value you can afford. It has a cash back program also. It provides free online management tools to access your mortgage accounts.

Quicken Loans
Quicken-Loans
It is the largest online retail mortgage lender. It has given loans to over 2 million American families. It has received very good customer feedback. It provides advanced online tools to quicken the whole process of applying for a loan.

Wells Fargo
Wells-Fargo
It is also one of the finest mortgage brokers in the U.S. It has advanced online loan processing tools. With these tools you can easily apply and track your loan. It provides fixed rate loans, adjustable rate mortgage deals, renovation loans, new construction loans, etc.

CitiMortgage
citimortgage
It is one of the top mortgage lenders in the U.S. It has a SureStart mortgage pre-approval program which allows you to concentrate on finding the right home for yourself. It provides you free consultation. It guarantees on-time closing of your application. It has an online class room where you can find answers to your mortgage related questions.

Bank of America
Bank-of-America
It is among the largest mortgage lenders in the U.S. They have improved their online platform, making it easy for the customers to fill in their application forms. It offers products such as home equity loans, fixed-rate loans, adjustable-rate mortgages, refinance loans, etc. I also saw their main branch in Chicago which also allows people to use them.