So....if you haven't heard, there's been a bit of a recession, brought on by the housing and mortgage crisis. Many so-called "experts" tell us it's really hard to get a mortgage, and speak of ridiculous rumors as fact (things like you have to have 20% down, and it's harder than ever to get a mortgage).
Here are the facts. From a guideline perspective, it's easier to get a mortgage now than anytime before 1997 or 1998. Debt-to-income ratio requirements are more flexible, private mortgage insurance options are better, etc., etc. Yes, appraisals are difficult, but they are still easier than they were prior to the "great easing" of requirements in the golden years of loose lending.
From a paperwork perspective, it IS probably harder to get a loan now than ever. Every "I" has to be dotted twenty-three times, every "T" has to be crossed 18 times......Why? Easy - The public, mortgage companies, banks and mortgage brokers committed fraud at record levels for a decade and now lenders have to cross check everything multiple times to protect themselves, their shareholders, subsequent investors and government guarantors from fraudsters.
So - here's the deal. You probably qualify for a loan. Maybe even more loan than you want. But the mortgage lending industry is going to make you prove it. So when we ask you for paperwork and documentation, get it to us. It's a pain, but if you are doing a mortgage in today's world, it will be a pain worth going through. That's because you will be buying a house at a low price or dropping your rate or term significantly. Don't curse at us, curse at those who have gone before us for their fraudulent practices. Just get us what we need and we'll get the job done for you!
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