Buying a home is a lifetime dream for many people, but beforehand you should do a little research so you know what to expect.
KNOW YOUR CREDIT HISTORY
- Payment History-35% impact
- Amounts Owed-30% impact
- Credit History- 15% impact
- New Credit- 10% impact
- Types of Credit- 10% impact
HOW DO I QUALIFY FOR A MORTGAGE?
Qualification is based on your debt-to-income ratio. This is the amount of debt you have compared to your income. It’s calculated by adding up your monthly debt payments and dividing them by your gross monthly income.
If you receive a number below 40% you will generally be accepted to qualifying for a mortgage.
HOW MUCH CAN I AFFORD?
This depends on the interest rate and how much down payment you’ll make. Use our mortgage calculator to find out how much you can afford.