When you decide that you want to buy a home, what should you do first? Most real estate agents will tell you to visit a mortgage lender before doing anything else. The reason for this is to get a loan before you choose a house. If you need a mortgage loan, you must get preapproved before choosing a home to buy. If you want to buy a house with a loan, you can visit a mortgage broker for help. The broker will need some information from you to find you a loan, and here are the main things the broker might ask you to provide.
Basic Personal Details
The first question the mortgage broker will ask you relates to your personal details. For example, they need to know your name and your spouse's name if you will both apply for the loan. They will ask for your address and the length of time you lived there. They might ask for your social security numbers, phone numbers, birth dates, and other basic details. The broker needs all these things to find a loan for you.
Consent to Check Your Credit
The next thing the broker needs from you is your signature as consent to allow them to check your credit. Your credit score is a vital detail to a mortgage broker, as lenders need to know your credit before processing your loan application. If you have credit problems, be honest about them with the broker. The broker will find out anyhow after checking your credit, so you cannot hide this information.
A Financial Statement
The next thing the broker needs from you is a completed financial statement. The financial statement they need asks two main things. First, it asks you to list every asset you have, along with each item's value. You must list the cash you have in the bank, cars you own, and any other valuable items. Secondly, you must list your debts. If you have a loan on your car, you must list that. If you owe money on credit cards, you must list each one. The point of this statement is to see the difference between your assets and debts, as this refers to your net worth.
These are the things that a mortgage broker will ask for when you hire one for help. If you have questions about the process or need a mortgage loan, look for a mortgage broker in your area.
Share30 November 2021
When I began my first business selling sports equipment locally, I knew the sports-world well, and I knew how to run a business. One thing I did not know a lot about was the financial world. I had never applied for a loan in my life other than when I financed my car with the dealership in-house financing. My first application at a large bank was denied. I began looking into my other options, and I found that there were more lenders for new businesses than I realized. I applied at local credit unions, local banks, and other business lending services. I was able to secure more funding than I even expected, and my credit is just average. I created this blog to help other new business owners realize that there is funding out there. You just have to find it and apply! Don't give up on your dream.