An alternative way to qualify for mortgages

Lens1000

VIP Contributor
Mortgage require one Important factor and it's one the reasons why most of the people do not qualify for the loan. Your income is number one thing that will be considered. The mortgage bank want to be sure that you will not default the loan payment

So many people wondered which their mortgage loans was not approved because they have a great credit record and almost no debit. Yet this financial institution says that your income doesn't justify the loan amount

It's better not to take a loan that will give you sleepless night. There are possible ways that will make you qualify

The first creative solution you may want to consider is an increase in the amount of the down payment. By increasing your down payment, you will reduce the amount to be borrowed which can make all the difference in qualifying. If you can bump the down payment up to 25% of the total value of the property, many lenders will relax the qualification requirements.

Regardless of the approach you take, insufficient income need not be the end of your home buying prospects. Get creative and you can find a solution.
 

sincerem

VIP Contributor
Mortgage banks doesn't offer loans to everyone, they're simply selective. Before one gets an entitlement to their loan, the person must worth it, you can't just go into the mortgages and request for loan without matching their valuation. One must meet their requirements before loan can be offered. The income of the person will be evaluated, and their must be collateral in place, the age of the individual matters too.
 
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Lens1000

Lens1000

VIP Contributor
Mortgage banks doesn't offer loans to everyone, they're simply selective. Before one gets an entitlement to their loan, the person must worth it, you can't just go into the mortgages and request for loan without matching their valuation. One must meet their requirements before loan can be offered. The income of the person will be evaluated, and their must be collateral in place, the age of the individual matters too.
The basic requirements is your income and if they noticed that it's not commensurate to the loan amount, the mortgage will decline your application. It's always good to go for loan that you can afford to pay easily. To avoid unnecessary pressure and forfeiture of ones property. It's very important to take note of this
 
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sincerem

VIP Contributor
The basic requirements is your income and if they noticed that it's not commensurate to the loan amount, the mortgage will decline your application. It's always good to go for loan that you can afford to pay easily. To avoid unnecessary pressure and forfeiture of ones property. It's very important to take note of this
That's one of the basic requirement from the Mort bank. Cos if one earns reasonable amount of money as salary, surely they'll offer the person loan based on what he or she can afford to pay back. And not a low salary earner demanding for a loan that will take him or her ages to pay back, surely the mortgage will disapprove that.
 
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Augusta

VIP Contributor
Ofcourse why there was a denial in the first place was for them t safe-guard their investment. No one want to lose money so everyone is on the look out not to lose. I agree with you if one has the money to increase the down payment then it will be better
 
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Alexandoy

VIP Contributor
The increased down payment to a property that you are buying will depend on your extra money. You cannot borrow money for that purpose. Your capacity to pay is the crux. If your income is not capable of paying off the installments then you just have to find a new job that would give you a higher salary or maybe find another property that is cheaper.
 
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