I. Credit score
In the United States, an important factor that directly affects the interest rate of your home loan is the credit rating. The lower the credit score, the higher the mortgage interest rate, and even the loan application cannot be passed. Many applicants can only apply for high-interest mortgage or delay the whole application process because of some minor mistakes.
Tips:
Keep a good credit record before applying for a house loan. In the application process, pay attention to any factors that will affect the credit report, and maintain effective and good communication with the housing loan company. For example, a small debt of $4 may reduce the credit score by 100 points. If you plan to return the credit card, please also consult the loan company in advance, because any change in your credit report will affect the application process.
It is best not to increase new loans. New debt will directly affect your debt-to-income ratio, which is also an important indicator for loan companies to examine during the application process. For example, opening a new credit card and lending money to your new home to buy furniture and appliances will increase your debt and be more conducive to applying after the loan is approved.
Two. Income, assets and liabilities
Income, assets and liabilities are another important content of the mortgage company's audit, which directly affects whether the loan can be passed.
Tips:
Don't hide your income and liabilities. The loan company will check all the materials submitted by you one by one, even if you hide or lie, you can't get away with it. This will only slow down the whole application process and even lead to the application not being passed.
Bonuses or bonuses are not necessarily included in income. Loan companies have specific and detailed regulations on income verification. Bonuses are not stable income. Generally, it takes at least two years before bonuses or bonuses can be counted as fixed income.
When filing tax returns, don't deliberately reduce your income in order to save taxes. When some property buyers file tax returns in the United States, in order to reduce tax expenditure, they use other expenses to offset their income, which will seriously affect the ability of loan companies to evaluate your income.
Third, the ability to pay
As the saying goes, how much money can do many things. Buying a house has always been an expensive expense. Due to cultural and consumption habits, most China property buyers will have relatively sufficient funds before buying a house. However, some corresponding expenses are often overlooked.
Tips:
Tax and insurance can not be less, find a housing loan company to plan in advance. Buying a house in the United States includes not only down payment and monthly payment, but also property tax and home insurance. Depending on the type of real estate, you also need to pay property management fees or house maintenance fees. The safest way is to consult the mortgage company before starting to look at the house, and calculate the price range of affordable housing according to your ability to pay, so as to save time and effort to buy the house you like.
Fourth, major changes.
In the process of buying a house and applying for a mortgage in Boston, USA, any change in your repayment ability and property will directly affect the approval process and success rate.
Tips:
In the meantime, change jobs. Most borrowers think that changing a job with higher income is beneficial to loan application. However, loan companies prefer stability. They believe that if the borrower has a stable job for at least two years, the possibility of unemployment will be less. Of course, if you lose your job during the application period, the loan application is likely to fail.
A large number of attribute inputs or outputs. Try to avoid the transfer or change of assets, because the loan company needs to spend more time to check and affect the progress. Keeping and sorting out all relevant bank account records and materials will make mortgage application more efficient.
Planning in advance, truthfully reporting materials, maintaining a good credit record and minimizing major changes are the keys to speeding up the application for lower interest rate mortgages. In addition, comparing several loan companies and projects and maintaining good and effective communication with loan companies can also avoid some unnecessary mistakes.
If you master the above points, buying a house loan in Boston, USA can not only improve the chances of applying for a low-interest loan, but also pass the examination and approval more effectively and quickly.