Sonoma County Mortgages

All financing provided by New American Funding

(707) 217-4000 | Prequalify Now
  • Home
  • Purchase
    • How Much Down Payment To Buy A Home?
    • How Much Income You Need To Buy A Home
    • How Much Should I Save For Buying A Home?
      • How Rates Affect Payment
    • No PMI Mortgages
    • FHA Loans
    • Sonoma County Disaster Loans
    • Jumbo Loans
  • Refinance
    • Mortgage Rates
    • Does It Make Sense To Refinance?
      • Get Your Refi Paperwork In Order
    • How To Pay Off Your Loan Faster
    • How To Remove PMI
    • How Lenders Price & Quote Loans
  • Loan Programs
  • Payment Calculator
    • Mortgage Affordability Calculator
  • Blog
  • Videos
  • Scott Sheldon
    • Scott Sheldon
      Senior Loan Officer
      NMLS ID# 287389
      Direct: 707 217-4000
      Scott.Sheldon@nafinc.com
      Specializing in Residential Home Loans for Primary Residences, Second Homes, Investment Properties, Single Family Homes, Condos, PUDs, 1-4 Units.

Get Your Latest Rate Quote Now!

These little lending nuances may help you land a mortgage

June 26, 2018 by Scott Sheldon

Share on Facebook
Facebook
Tweet about this on Twitter
Twitter
Share on LinkedIn
Linkedin
Pin on Pinterest
Pinterest
Email this to someone
email
Print this page
Print
Little lending nuances to get a mortgage

Getting a mortgage in 2018 there is a bureaucratic and compliant process with a significant amount of paperwork involved. Following is some tips on various loan programs available in the marketplace you may not know…

Conventional mortgages they will go up to a debt to income ratio of 50%. Here is the kicker if your credit score is extremely good 764 examples or above your front-end housing payment and debt to income ratio can both be as high as 49%. Simply put 49% of your monthly income can go towards a housing payment. This is significant because on other loans such as FHA for example the front-end housing payment cannot exceed approximately 44% of your monthly income.

On a conventional mortgage you can get your payment offset that another party makes so long as they are on the note and make the payment directly to the creditor and have for the last 12 months and the payment comes from a non-joint bank account.

Arm’s length transactions involve involve no relationship between buyer and seller. In a divorce buyout situation or in a family purchase situation there is a relationship between the parties which would constitute what’s called a non-arm’s length transaction. Non-arm’s length transactions are eligible loans that can go through however it’s going to require careful planning and expertise on the side of the lender to make sure they properly package file so it will pass through the examination of the underwriter

If you have an alimony payment and are getting a conventional mortgage here is some information that may help you get qualified… alimony now comes off income and is not counted as a debt. This is huge for borrowing power because it allows you to qualify for a larger mortgage and it lowers your debt to income ratio in the process. Child support however is counted as a monthly obligation like a car payment on both conventional and an FHA Loans. FHA and conventional loans both carry this unique and helpful viewpoint on alimony payments.

VA loans will require you to provide a monthly budget when getting final mortgage loan approval of how you’re going to manage that mortgage payment with the rest of the expenses and dependents if you have any in your life. VA may also require a water test when financing a property with a private well. VA Loans must clear the pest report on a purchase transaction cannot be paid for by the buyer at all and any section one termite damage can be specifically paid for by the buyer. On a refinance borrower pays for both report and work to be completed.

Not sure how or if these may apply to you? Get a no cost quote now.

Related Mortgage Advice from Scott Sheldon

  • Will Credit Cards Help Me Land A Mortgage?

    Well? Yes and No, read on.... Like it or not, your relationship with money can…

  • Paying Off Your Credit Cards May Hurt Your Mortgage Approval

    You heard it correctly, your credit card don't have balances, yet your mortgage application can…

  • 3 Credit Scores No Longer Necessary For Mortgage Lending

    The standard set by the lending industry is three credit scores are needed for obtaining…

  • your mortgage chances may be slim with this credit card
    Why your mortgage chances may be slim with this credit card

    Credit cards play an integral role in your ability to qualify for home financing. If…

Filed Under: First Time Home Buyers, Interest Rates, Loan Qualifying, Mortgage Shopping, Mortgage Tips & Advice Tagged With: conventional loans, FHA Loans, mortgage rate quote, mortgages, preapproval to buy a home, purchase real estate, qualifying for a mortgage, refinancing my mortgage, Santa Rosa mortgages, Sonoma County Mortgage Rates, sonoma county refinancing, VA Loans

SCM on Zillow

Zillow Reviews for Scott Sheldon, New American Funding

SCM on Facebook

SonomaCountyMortgages.com

Location & Contact

Scott Sheldon, Senior Loan Officer
NMLS ID# 287389
1450 Neotomas Ave Suite 115
Santa Rosa, CA 95405
1-707-217-4000
Email Us!

Copyright 2019 SonomaCountyMortgages.com · About Us · Sonoma County Loans · Privacy Policy · Terms Of Use · Legal · Site Map

NMLS Consumer Access © New American Funding. All rights Reserved. NMLS ID#6606.
Corporate Office 14511 Myford Road, Suite 100, Tustin, CA 92780. We at New American Funding take great pride in our customer service and make it our number one priority. We encourage you to contact us for complaint resolution or any post-closing questions you may have regarding the servicing of your loan. We strive to have your experience with New American Funding a stellar one. In the rare case that our service did not meet your expectations, please call our customer care hotline at 1-800- 450-2010, ext. 7100 or you may contact us by email customerservice@nafinc.com. Please leave a detailed message and we will follow up with you no later than the end of the next business day. If you are using a screen reader or other auxiliary aid and are having problems using this website, please call 800-450-2010 Ext. 7100 for assistance.

State Licensing | Privacy | Terms of Use | Electronic Consent Agreement

Connect With Scott In Your Inbox

Looking for a home? Real estate insider? Get connected with Senior Loan Officer Scott Sheldon. Scott stays updated on the latest in the mortgage industry, so you can stay updated with him!