Fort Lauderdale Mortgage Rates
How can I get a mortgage? This is a question that many residents of Fort Lauderdale ask themselves. If you want to own a home and you don’t have enough money to buy the house, taking a mortgage can help make your dream a reality. Mortgage which basically means home loan is a type of loan given by lenders to individuals who want to own a house but they don’t have enough money to buy the house at that particular time. The borrower with then be required to pay the loan back according to terms and condition that have been put across by the lender. So do you reside Fort Lauderdale and you are wondering how you can get a mortgage? If yes then you are in the right place because in this article we are going to give you 5 tips that will help you get a mortgage in Fort Lauderdale.
- Know your credit score.
The first and the most important thing that you need to consider before applying for a mortgage is your credit score. A recent research conducted by an independent financial institution revealed that the main reason why most borrowers are denied mortgage by lenders is because they have poor credit score. Before you apply for a mortgage, take a step of knowing your credit score. It is a very simple process that will only take some few minutes. Many home buyers in Fort Lauderdale usually don’t take the initiative of reviewing their credit history and score before submitting for a mortgage application because they assume that their score is high and enough to qualify for the loan. In addition to that, many future home buyers also don’t consider the possibility of identity theft. Most lenders usually analyze your credit score and history when deciding if they should approve your mortgage application. They will only approve your request if you have a credit score of more than 680. In addition to having good credit rating, lenders will also review your payment status. This means that if you have several missed payments and frequent lateness in paying your debt, then chances are that lender will deny you the loan. Therefore, ensure that you have good credit history and score. In addition to that ensure that you pay your debts on time.
- Save money.
To increase your chances of getting a mortgage, ensure that you save money. Requirements for getting a mortgage usually change and if your account is reading zero, then chances are that the lender will reject your loan request. As opposed to the past where brokers in Fort Lauderdale used to approve zero down mortgage loans, nowadays most lenders require applicant to submit a down payment. The minimum down payment that the lender require may vary depending factors such as the type of lender you choose and they type of mortgage. However, on average, most lenders will require you to submit a down payment of at least 3.5%. In addition to down payment, you also have to worry about application fee, credit report fee, title searches, home appraisal among other expenses all of which you to have pay before you seal the deal.
- Have a steady job.
If you are thinking of quitting your job, then don’t even think of applying for a mortgage. Having a steady job with a steady income is very crucial when applying for mortgage. Lenders will only approve you request if they are sure that you have a stable income that will enable you to pay the loan.
- Get pre-approved for a mortgage.
There are two main reason why you need to get pre-approved for a mortgage. First, you will get to know how much you can spend before you bid for a property. Secondly, you will avoid falling in love with a house that you cannot afford. The pre-approval process is very simple, all that you have to do is to contact the lender and submit your personal and financial information and then wait for response.
- Know what you can afford.
Before applying for mortgage, is it very important to know what you can afford. Another reason why many people are usually denied this loan is because they apply for a mortgage that they cannot afford. Carefully analyze your income and request a mortgage that you can comfortably afford to pay. Lenders will any approve your request if it is a realistic value.