Posted on: 14th Nov, 2006 07:26 pm
Hi, I am new grad just graduated. I just got a real job two month ago and my salary is 33, 000. For the past 3 years, I work part time which i earn about $12, 000. Now I plan to buy a house from my aunt. I would need to borrow about $90.000. I just want to know if i am qualify for the loan? and what are the steps i should take? thanks.
Hi Guest,
You may qualify for a home loan but this will depend more upon the lender offering the loan. Any lender will actually review your income and credit score before providing the loan. By the way, what's your score? If you do not have any, then first of all take a small amount of any kind of loan or a credit card and try to be regular on the payments. This will help you to build up a good score and after you have successfully done that, you can approach lenders and enquire about loan programs, rates available and the fees involved. You need to compare the costs of managing the loan and then take the right decision as to which program you will prefer.
For a detailed knowledge on the entire process, you can go through the section, Loan Process in the Guide.
Thanks,
Sara
You may qualify for a home loan but this will depend more upon the lender offering the loan. Any lender will actually review your income and credit score before providing the loan. By the way, what's your score? If you do not have any, then first of all take a small amount of any kind of loan or a credit card and try to be regular on the payments. This will help you to build up a good score and after you have successfully done that, you can approach lenders and enquire about loan programs, rates available and the fees involved. You need to compare the costs of managing the loan and then take the right decision as to which program you will prefer.
For a detailed knowledge on the entire process, you can go through the section, Loan Process in the Guide.
Thanks,
Sara
Hi,
Also you should check your current credit score with the bureau before you approach any lender for the loan.
You should take into consideration the type of home your aunt is going to buy and the loan amount the lenders will agree to lend will depend on that also.
If you are going to repay the loan then the lender will ask for your name also to be on the title of the home, for that while buying the house you will have to decide in whose name the title of the house will be. Also decide about the down payment you will be able to make, which is also a major factor in the loan process.
Also you should check your current credit score with the bureau before you approach any lender for the loan.
You should take into consideration the type of home your aunt is going to buy and the loan amount the lenders will agree to lend will depend on that also.
If you are going to repay the loan then the lender will ask for your name also to be on the title of the home, for that while buying the house you will have to decide in whose name the title of the house will be. Also decide about the down payment you will be able to make, which is also a major factor in the loan process.
Hi Guest,
You need to follow some simple steps in order to get a home loan. The steps are given below:
Thanks,
Caron.
You need to follow some simple steps in order to get a home loan. The steps are given below:
- Approach some lenders and collect information on various loan programs, the available rates of interest, fees, etc.
- Compare the lenders on the basis of the rates and fees involved. Do not forget to enquire about their service background and whether they are at all licensed. Get pre-qualified with few lenders.
- Select the lender as per your suitabiity and then consider the loan programs on offer. Know more on "How to choose the best lender?".
- Compare the loan offers after enquiring about their features, rates and the benefits they can provide you with.
- Select your preferable loan program and get pre-approved with the lender you have chosen. The lender promises to provide you with a certain loan amount at a certain interest rate.
- Within 3 days of applying for the loan, you will get certain documents from the lender. As a home buyer, you also need to sign documents like Offer to Purchase Contract and Purchase Sales Agreement.
- You should have your home inspected and then apply for homeowners insurance and private mortgage insurance. In the meantime, the lender will review your application once again, evaluate your property-value and check if your property-title is clear.
- The closing date arrives and you are to sign certain documents and pay the closing costs. The lender will provide you with loan amount while the seller hands over the property to you.
Thanks,
Caron.
thanks you for the advice.
Hey guest,
I can get you financed, provided you have a qualifying credit score. Give me a buzz at 1-888-757-7662 and I can give you some more info.
I can get you financed, provided you have a qualifying credit score. Give me a buzz at 1-888-757-7662 and I can give you some more info.
Hello Recent College Grad!
Congratulations! Your Aunt will sell you the home! This is wonderful!
Will the house appriase for $90k or is it worth quite a bit more and she is trying to give you a head start in life and selling it to you for less?
Don't reply to that online, just answer yourself.
If this is the case, then again Congratulations! You need to go to your mortgage professional and ask for a 'Non-ARMS Length' transaction with "Gift of equity'. Example: If the home would actually appraise for $140,000.00 and she is selling to you for $90,000.00 and she will 'Gift' to you 'Equity' of $50,000.00-the bank will look at this as YOUR $50k down payment thanks to Auntie's equity. You only need a loan for $90k, Aunt receives $90k at closing and the bank will show this as your down payment, your loan is only 65% loan to value which gives you a nice rate and NO PMI!
If the house only appraises at $90k then you need 100% loan, unless you have a down payment. The bank will need your school transcript showing you were in school, W-2's for the places you did work and as long as your scores are over 620, you should have no problem.
Good Luck!
Congratulations! Your Aunt will sell you the home! This is wonderful!
Will the house appriase for $90k or is it worth quite a bit more and she is trying to give you a head start in life and selling it to you for less?
Don't reply to that online, just answer yourself.
If this is the case, then again Congratulations! You need to go to your mortgage professional and ask for a 'Non-ARMS Length' transaction with "Gift of equity'. Example: If the home would actually appraise for $140,000.00 and she is selling to you for $90,000.00 and she will 'Gift' to you 'Equity' of $50,000.00-the bank will look at this as YOUR $50k down payment thanks to Auntie's equity. You only need a loan for $90k, Aunt receives $90k at closing and the bank will show this as your down payment, your loan is only 65% loan to value which gives you a nice rate and NO PMI!
If the house only appraises at $90k then you need 100% loan, unless you have a down payment. The bank will need your school transcript showing you were in school, W-2's for the places you did work and as long as your scores are over 620, you should have no problem.
Good Luck!
