There are many benefits to a preapproval for a home loan in El Paso TX.
Many consumers are not informed on the proper way for buying a home. Of course this is a big question that can stressful or enjoyable, it just depends on the steps you take in the home buying process for a home loan in El Paso TX and the surrounding areas. It is essential that you take the proper steps to keep your self educated on the initial investment, the buying power, and to take some time to think about your lifestyle choices. Each of these will be discussed in this article.
Education
There are many steps to buying a home in El Paso, TX, this is one and it begins with getting pre-approved for your home loan. Take note that we didn't say anything about getting pre-qualified because in today's mortgage industry it is meaningless. It is important to choose a mortgage lender that can offer no cost pre-approvals and home buyer counseling. The process can be lengthy, but you must include two years of tax returns, one month of paystubs, two months of all your liquid asset account statements which include 401K's, IRA's, Checking, Savings, and stocks to give your mortgage banker authorization to pull your credit report. It is essential that you provide all page of the bank statements as well as explain these meaning prove where the money for deposits came from that went into your liquid asset accounts. Your mortgage lender needs this to analyze the date because: 1. How much home you can afford. 2. The type of loan structure and initial investment that best fits your needs and 3. What type of house payment you feel comfortable paying for and qualify for.
Get a mortgage pre-approval for your home loan from the U.S. Bank National Association website @ https://www.usbank.com/mortgage/pre-qualification-pre-approval.html
Initial Investment
There are many different types of loan programs available in the mortgage markets ranging from niche 100% financing which include VA and USDA loans, to FHA loans (with 3.5% down payment), to Conventional loans that begin with 5% down payment options. You should have your mortgage lender calculate the remaining part of your initial investment, your taxes and insurance, what your closing costs are and whether or not there are any seller or lender contributions. This is why you should consult with an experienced mortgage professional that can assist you with the best loan program for you.
You will know what price range you should start looking in with comfort after you get pre-approved and you have your mortgage counseling session. Also, you will have a "head start" on your home loan in El Paso TX and the surrounding areas that gives you the ability to have the "buying power of a cash buyer". After you submit your offer, have your mortgage banker send a pre-approval letter that matches your offer to let the seller know that you are cleared to be pre-approved for inspections, for title work to come back clean, and to get an appraisal. You won't have much stress wondering if you qualify, if something comes up on your credit report causing a delay or for you to be turned down from that loan.
Lifestyle Choices
The importance of knowing your full budgeting of your entire house payment and all other monthly obligations cannot be underestimated. You have numerous options. For those whose income is projected to increase (like a younger professional getting started in their career), you may elect to buy at the upper end of your qualifying range in terms of house purchase knowing more discretionary income is on the way. If you know that your income is going to be flat, you will be choosing the level of discretionary income you would want to use to reserve it for new cars, traveling, eating out,money for furnishing and updating your home, etc. It is essential to consider what the final purchase that are you comfortable with to enhance your lifestyle after purchasing your new home.
As always, we are ready to assist you with your home loan in El Paso TX. Just go to http://elpasohomemortgageloan.com or call Joy Bates with the Legacy Group of LeaderOne Financial at 817-860-3232 or toll free 888-860-3232.
Comments(0)