How To Pre-Qualify Yourself For A Mortgage In 5 Easy Steps

By S. L. Kincaid

How To Pre-Qualify Yourself For A Mortgage In 5 Easy Steps will give you the knowledge and tools to take control of the loan application process by going into it extremely prepared--by pre-qualifying YOURSELF before you ever meet with a lender.

By doing the simple Action Steps outlined, you will know exactly what you need to prove to get a home loan by performing a basic review of your own data as a lender might. You will also have the knowledge to put together the basic documentation package that most lenders require.

The information in this book will allow you to intelligently steer the process versus going into it like a pledge to a secret society waiting for some word that you’ve been “accepted” based on some unknown (to you) criteria.

The latter describes the unpleasant feeling a lot of people get when they apply for a home loan. It does not have to be that way.

This book is good for first time homebuyers and seasoned property owners alike as the rules of the mortgage game have changed drastically in the last few years.

Candid tips on what to look for when choosing a lender, what the ads don’t tell you, and information on going into your transaction with “eyes wide open” are included.

Whether you are going to use a big box bank, a small community credit union, or a local mortgage broker for your loan, this book will put you in the best position to navigate the system for the loan you want.

• Language: English
• Publisher: S. L. Kincaid
• Release date: Aug 20, 2014
• ISBN: 9781310523892

Book preview

HOW TO PREQUALIFY YOURSELF FOR A MORTGAGE IN 5 EASY STEPS

(WHAT YOU NEED TO KNOW BEFORE YOU TALK TO A LENDER)

Published by PUSH BUTTON PLAY, LLC at Smashwords

Smashwords Edition, License Notes

This ebook is licensed for your personal enjoyment only.  This ebook may not be re-sold or given away to other poeple.  If you would like to share this book with another person, please purchase an additional copy for each recipient.  If you’re reading this book and did not purchase it, or it was not purchased for your use only, then please return to Smashwords.com and purchase your own copy. Thank you for respecting the hard work of this author.

Copyright ©  2014 Push Button Play, LLC

All Rights Reserved.

Contents

The Legal Stuff - Disclaimer

Introduction and How This Book Came To Be

Action Steps- Giving You Control

How to Use This Book

First Things First-Loan Programs That Are Gone

What You Need to Prove in the Current Mortgage Environment

Action step # 1: Prove Who You Are

Additional ID Needed For VA Loans

Action Step 1 Checklist

Action step # 2: Prove You Have Decent Credit

Where To Get Your Tri-Merge Credit Report

Figuring Out Your FICO Mid-Score

What Does My FICO Mid-Score Mean?

Reviewing and Analyzing Your Credit Report

Your New Anticipated Mortgage Payment Amount

Any Student Loan on Your Report?

Collections, Liens and Judgments

Liens

Judgments

Bankruptcy, Short Sale or Forclosure on Your Record?

Action Step 2 Checklist

Action step # 3: Prove You Sufficient Income

W-2 or Salaried Borrowers

Self Employed Borrowers

Retired Borrowers

For All Borrowers-Other Types of Income

The Magic Fraction-Your Debt to Income Ratio

Action Step 3 Checklist

Action Step #4: Prove You Have Assets

Asset Checklist

Action Step #5: Prove The Property's Worth

Action Step #5 Checklist

Additional Items Needed for A Re-fi

Types of Loan Programs

Lender Overlays-What the Ads Don’t Tell You

Tips Regarding Making the Loan Process Go Quicker

Tips When Shopping for a Loan- Going in With Eyes Wide Open

HOW TO PREQUALIFY YOURSELF FOR A MORTGAGE IN

5 EASY STEPS

(Know What You Need To Prove To Get A Loan

Before You Talk To A Lender)

By S.L. Kincaid

THE LEGAL STUFF

DISCLAIMER:

The general information contained in this book is intended for educational purposes only and does not constitute legal, financial or accounting advice.  The information outlined here is based on best efforts researching existing Federal guidelines and laws relating to mortgage lending at the time of publication.  Each state may add additional requirements.  Loan programs and guidelines as well as laws regarding mortgage lending change frequently and the Reader is encouraged to use the information in this book as a basic starting point before contacting a Lender to get prepared for the loan process.   The Lender chosen, using current guidelines at the time of application, will have the ultimate say on whether a person qualifies or not for a mortgage loan.

Please consult an attorney and/or licensed financial or mortgage professional in your state for advice on your particular situation.

Contact [e-mail] with comment or questions.

Introduction and How This Book Came To Be

There once was a young businessman who came to a loan officer seeking a mortgage to purchase his first home. This man had fit the appointment with the loan officer in between meetings and was obviously antsy and anxious to get this meeting over with in as little time as possible.  He was a no-nonsense type of guy who wanted to get to the bottom line in the quickest way possible.

The loan officer started to explain the loan programs and all the reasons why so much documentation would be asked for (probably in a way that did not make sense to him) when the client stopped the loan officer and said:

"I know you think this explanation is helping but its not...

JUST TELL ME WHAT I NEED TO PROVE TO GET THIS LOAN."

That’s what this book is designed to do.  You will probably get a mortgage loan only a handful of times in your lifetime and don’t need to be an expert on it or on all the changing rules and regulations.  You just need a roadmap for today.

This book will show you the basic information that will be required from you and more importantly, how to do a preliminary analysis on your data to get an overview of where you stand.  Know that Lender guidelines change frequently and will always be the variable, but at the end of the process  you will know 1) what your particular facts are and 2)  if your set of facts puts you in the right territory for getting the loan you want.  You will also learn how to shop for the right Lender for your particular situation.

This book is also designed to help you turn the process on its head a bit by you going into the loan application process extremely prepared and able to steer it by asking the right questions versus going into a meeting with a Lender and waiting like a pledge to a secret society for word that you may qualify for the loan based on some unknown (to you) criteria.

You can do some of what is suggested in this book or all of it.  Either way, just by knowing what will be asked of you makes you ahead of the game.

Image credit: © cristovao/Shutterstock

Action Steps- Giving You Control