The 5 Most Commonly Asked Mortgage Questions

Whether at work or at home, we all get asked the same handful of questions over and over.  And if you have kids, well, you know exactly what I'm talking about. 😂

I got to thinking that I should share the 5 MOST COMMONLY ASKED MORTGAGE QUESTIONS I get asked because you would probalby like to know the answer too.

If you need help with a preapproval, click the button below and it will take you to my online application.  This is the best way to get started working with me.

Question #1 How do you qualify for a loan?   The mortgage process can FEEL INTIMIDATING, especially if you’re buying your first home. After all, this is probably the single largest purchase you’ll ever make!   TAKE A DEEP BREATH AND RELAX—you are in good hands. To begin, you will meet with me so I can get to know you.  I want to learn about you, your home buying goals, and your financial situation.   I WILL ASK YOU ABOUT:   Where you work   Your income   Any debt you have   Your assets (money in the bank and retirement accounts)   How much you plan to put down on your home   After we chat, I’ll either direct you to make application for a mortgage or give you a plan to get read to make application.   Question #2 Can you get a mortgage without a credit score?   This is one of the most commonly asked mortgage questions, and the answer may surprise you.   If you have no debt it, is possible you won’t have a credit score. But don’t worry; chances are you can still get a mortgage.   If you apply for a mortgage without a credit score, you’ll need to go through a process called manual underwriting. Manual underwriting simply means you’ll be asked to provide additional paperwork for the underwriter to review personally. Your loan process may take a little longer, but buying a home without the strain of extra debt is worth it!   Question #3 What’s the difference between being prequalified and preapproved?   PREQUALIFIED means we had a QUICK CONVERSATION about your income, assets and down payment.  You did not provide me with proof of any of it and most likely I didn’t pull your credit.   PREAPPROVED means we’ve had a quick conversation and YOU HAVE SUBMITTED DOCUMENTATION TO PROVE YOUR FINANCIAL SITUATION.  You have filled out a loan application and I have pulled your credit.  Finally, I have submitted your loan for preliminary underwriting.    A preapproval takes a little more time and documentation, but it also carries a lot more weight when you go to shop for your dream home.               Question #4 How much home can you afford?   I start this conversation by asking you, “What is a comfortable monthly mortgage payment for you to make each month?”  After that, I take the information you shared with me about your income and other debts and back into how much home you can qualify for.  Together we compare your comfortable mortgage payment with what I can qualify you for and find the best answer for you.  A great recommendation is to keep your monthly mortgage payment to 25% or less of your monthly take-home pay. For example, if you bring home $5,000 a month, your monthly mortgage payment should be no more than $1,250.   I have seen people go as high as 40% or more of their monthly take-home pay for a monthly mortgage payment.          Question #5 How much should you save for a down payment?   Once you have been preapproved, then you will know which loan products work for you and what the required down payment amount is.  DOWN PAYMENTS RANGE FROM 0-20% or more.  VA loans require 0% down, FHA loans require 3.5% down, and Conventional loans start at 3% down.    You will also have closing costs on top of a down payment and we will talk about that during the preapproval process.