Georgia FHA Mortgage Rates: Factors To Get Your Mortgage Approved
When applying for a mortgage, the lender you have chosen will take many factors into account. These factors not only influence what type of loans you can qualify for but also what your monthly payments will be and how many years you will take to pay the loan off completely.
Becoming aware of these factors and taking action to improve them all can give you a distinct advantage as you start the approval process that you hope will result in closing on your new property. Your actions can determine success or failure.
The basic factors apply for any type of loan approval, but they are particularly important when trying to get approved for what is probably the largest loan you will ever apply for. The most important factor is credit.
Have you seen your credit report lately? Most people haven’t. Get a free copy of your credit report from each of the 3 major credit reporting agencies from the annualcreditreport.com website with just a few minutes’ effort.
Many times they have errors that can be corrected in just a few weeks and that helps boost your score. If you have credit cards, pay them off as well as any other outstanding bills.
The size of your down payment can make a huge difference in your chances of being approved. If you have credit problems, the bigger the down payment, the less impact from your credit score.
If you have great credit, you can still obtain better mortgage terms by increasing your down payment
Above all else, don’t lie to your lender. If you tell them you are a supervisor of a power plant and they find out you are a UPS man who has only had the job for 6 months, you will be totally screwed. Be honest and your lender will do their best to work with you.