San Diego Home Mortgage Blog

Once your home loan application is filled out and sent to the lender for review, the first thing they will look for is your ability to pay back the loan you are requesting. My team and I have a streamlined the San Diego Home loan process to help you get everything together prior to this review. A home run loan package is in perfect order and answers all the important questions that will be asked by underwriting up front. We know what the lenders are looking for, based on long-term relationships with them and extensive knowledge of guidelines for all of the loan programs that are available today. 

What are they looking for when they underwrite the home loan application?

The lender wants to know about your personal financial situation, including savings and credit history and your job stability. The co-borrower's history is also taken into consideration if their income is being used to qualify for your new San Diego home loan. The lender also looks at the loan amount and appraised value of the home you are looking to purchase. Not every applicant is approved the first time through the process. If the underwriter has any questions or concerns, he or she will require certain conditions be met before they approve your new mortgage loan. 

What can I do on my end to make it easier to be approved?

Before taking out a home loan you need to show a consistent record of paying your bills on time. If you have utility bills that are overdue, bring these up to date. Make sure you are paying credit card and car installments in a consistent and timely manner.

We will calculate your debt-to-income ratio to determine what mortgage payment will be comfortable and affordable for you on a monthly basis. Aim for having enough savings to cover your down payment, closing costs, and three month's expenses in case of emergency. We'll help you find the loan program that works for you while your Realtor helps you find the perfect home.

If I just started a new job six months ago, can I still apply for a loan?

A stable employment history is key, but the lender does take human factors into consideration. If you've recently completed college or vocational training, or were released from the military, you have good cause to have a lack of stable work history. If your profession is seasonal, and gaps in employment are normal in your field, there are loan programs that can work with your situation. If you left your old job to do something in the same profession making more money it is also ok.

Consistency and stability are the key words in the lender's mind. But know that lenders have developed many different loan structures to meet the needs of different types of buyers. When your grandparents bought their first home, they probably put 50% down and made a lump sum payment in 7 or 10 years when the note was due. Times have changed, and so have loan programs. My team and I stay on top of current San Diego home mortgage programs. We monitor rates daily and have a support network of Realtors®, CPAs, Financial Planners and Credit Repair Consultants to lend you additional assistance. The first step to your new home is to call us at (619)285-2921 or click on one of the links below to get pre-approved now.

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