Good morning! The loan environment these days is much tougher than it was even last year. It used to be that anyone with a pulse (lol) could get a loan. Unfortunately, that led to a lot of loans that were given to borrowers who probably couldn't afford them. We could spread blame all around if we wanted to. I'd prefer to say that money gets easier to borrow when times are good. It's capitalism at its finest. Now, the real estate market has cooled and, with it, it's tougher to get a loan.
With the above in mind, there are two things you can do to make sure you qualify for a loan. One, have a great credit score. You can check your credit free once a year at www.annualcreditscore.com. A great credit score is over 700. This will get you the most favorable pricing on your loan. if you're under 680 these days, expect to pay more. The other option is to repair your credit. My man, Tyrone Dye at Dye Financial Sevices, can help. He can be reached at (360) 721-3776.
The second thing you want to have is money in the bank. This can be in the form of savings or retirement accounts. The more the better. It also helps if you're not looking to borrow 100% of your home's value. All this shows the lender is that you're willing to take some of the risk. It's not over if you don't have good credit and savings. Just expect to pay quite a bit more for your loan. I hope this helps! Have a great 4th.
Paul
Paul McFadden
Thanks, Richard and Jason. You do the same!
Paul