Bridgewater Mortgage programs abound:  jumbo financing  remains available to qualified borrowers to purchase a house and to do rate, term and cash-out refinancing for loan amounts of more than 729k. Fannie Mae has raised loan limits for Bridgewater Mortgage programs up to $729k, and the FHA Loan Limit is $729,750 as well.   USDA Rural Development loans are avilable in some areas around Bridgewater as well.  Great rates are available for all types of loans in your area, contact me at 908 531 6170 for a customized quote.  As an area resident, here are some tips (as well as questions to ask a prospective lender regarding their loan parameters) to help you qualify for a loan as well as documentation required to get to closing on a Bridgewater Mortgage loan in a timely fashion:

•1.      Review your credit rating. Jumbo loans now often want a minimum 680, 700, or even a 720, or higher credit score. A 620 credit score is the minimum for FHA and VA mortgage loans currently. Fannie Mae mortgage loans have credit adjustments for credit scores starting at scores under 740.  You can ask your Bridgewater Mortgage loan officer to review your credit report with you or go to a free credit reporting service to review a copy of your credit report. You will want to check your credit for errors and any late payments, high balances, or loans for which you have co-signed (like student loans).  For more information, contact a reputable loan officer.  Ask your lender what their credit score policy is for your particular loan.

•2.      Check your home's value. Nothing is more disappointing than someone's home not appraising for enough to qualify for a refinance or purchase, particularly when the borrower feels the value should be higher.  For the record, the borrower always feels the value should be higher.  Zillow or other related online valuation websites are an OK place to start, and you also may want to consult a real estate professional if you are refinancing to gauge the market trends in your area. Local papers often list recent sales prices and addresses as well. I strongly urge anyone buying a home to use a buyer's agent to represent them for their purchase.  As a Bridgewater Mortgage professional, I can happily refer you to a reputable real estate agent in your area, who will look out for your interests.  

•3.      Check your income.  A jumbo Bridgewater Mortgage loan may not include bonus income at all, or may require a low loan-to value (usually under 75%) to include bonus income. If you are self employed or have a small side business, review your actual claimed income or loss. Lenders now check with the IRS for what your total claimed income is prior to closing a loan, via a form 4506.  If you have W-2 income but substantial business losses, this could present an issue on a fully documented  loan.  Check with your lender beforehand and present 2 years worth of SIGNED tax returns. Presenting a signed return verifies that it is indeed what you filed with the IRS.

•4.      Review your asset "reserves." While some lenders do not even verify asset reserves for jumbo loans, most want to see some money left over in savings after closing.  A lender wants to see  PITI reserves, or a certain number of months total mortgage payments, in savings. These reserves can be in the form of an IRA, 401k, stocks, checking, savings, etc.  Bridgewater Mortgage lenders want to see 2 months of ALL PAGES of asset accounts. Accounts such as an IRA or 401k are usually counted as 60-70% of their face value towards reserves due to withdrawal and tax penalties/liabilities, if applicable. Many lenders require 6-24 months or more PITI reserves, depending on the loan's size

•5.      Decide what type of loan you want. 40, 30, 20, and 15-year fixed loans have different rates and payments. If you plan on staying in your home less than 10 years, you may want to entertain an adjustable rate mortgage for a lower interest rate. An interest-only loan may be attractive if you plan on making lump sum payments, or simply want to make minimal payments.  Interest-Only and Adjustable Rate Mortgages are not for everyone, as we have learned over the last few years. Learn how an ARM Mortgage works. Get ARM details in writing from your lender.

Have your documentation ready. Your Bridgewater Mortgage lender isn't singling you out if they ask (in addition to income/asset information) for a recent phone bill with your address and phone number, a copy of a legible drivers license, homeowners insurance declaration page, credit inquiry letter, and even a credit explanation letter. This is standard now for documenting a loan file.