| Not knowing if you will qualify for a mortgage loan | | | | average year's income. That allows them to determine |
| may be a bit scary. But to increase your odds of | | | | your ability to repay the loan. Not being able to provide |
| getting approved there are a few helpful steps: | | | | this proof may disqualify you. |
| You need to wait for at least two years after the final | | | | They may chose not consider income from a second |
| discharge of any bankruptcy you may have filed. | | | | job when determining your eligibility for the mortgage |
| A waiting period of three years from foreclosure | | | | loan. They will only consider the income if you have |
| finalization is required for any foreclosure filings. | | | | earned a consistent amount of money from both jobs |
| For the previous one year (12 months) you should | | | | for the past two years. |
| have no late payments on your credit report. Mortgage | | | | If you received child support you may or may not |
| lenders will still consider your application if, for several | | | | want that include in their determination. In order to claim |
| years you maintained a great credit record but still had | | | | it as income you must be able to provided proof that is |
| an occasional late payment. These payments should | | | | being paid in a consistent and on time manner. They |
| not have been late for more than thirty days. | | | | may choose to exclude child support payments if it |
| If you are currently renting they may ask for a history | | | | has been recently awarded. |
| of your rental payments. Be prepared to shown that | | | | Any litigation you may be involved in must be settled |
| you have consistently paid your rent on time for two | | | | before you apply for a mortgage loan. This includes |
| years. A reference letter from your landlord will go a | | | | any legal matters like an ongoing divorce or any law |
| long way. | | | | suits you maybe involved in. |
| Your application may be disqualified if the guaranteed | | | | Your ability to repay the mortgage loan will be carefully |
| government loan for your student loan is considered in | | | | scrutinized by the lenders. They will also determine |
| default. If this is the case the lender may reconsider if | | | | how much of loan payment you can afford to pay |
| you have negotiated an acceptable repayment plan | | | | monthly. By taking the information you have provided |
| and stayed current with the new arrangements for | | | | and entering it into a formula they can pretty |
| one consecutive year. | | | | accurately predict if you are credit worthy. If their |
| Before you apply for the mortgage loan, pay any | | | | formula says you are a good credit applicant and you |
| accounts on your credit report that you may have had | | | | should be able to pay the monthly amount stimulated, |
| in collections. | | | | you will more than like be approved. |
| Any court-imposed judgments must be paid in full. | | | | Before applying for a mortgage loan clean up your |
| Make sure if any of the cases involve child support | | | | credit report. A clean credit report is paramount in a |
| that you are caught up and current. | | | | lender's decision to give you a loan. Small "stains" are |
| If your income is based on commissions or you are | | | | your report may not completely eliminate you but you |
| self employed you will need to provide proof of a | | | | will pay a higher interest rate. You should now be able |
| steady income for a minimum of two years. The | | | | to estimate whether you will qualify for a mortgage |
| lender will then be able to properly determine your | | | | loan. |