New Homes in Charlotte North Carolina Homes • Charlotte New Homes
HOME MORTGAGE LOAN TIPS: SIMPLIFY THE PROCESS!
Whether you are buying your first home through reliable home builders in Charlotte NC, or are purchasing another home to move up in size or pricing, the process of financing this important purchase can be the most intimidating part of the experience. Understanding financial terminology and good preparation can take some of the sting out of this process.
Most people look to their bank to borrow the funds for their mortgage. While this is a logical choice, it is important for home buyers to know that there are other lenders available. Mortgage companies, savings and loan associations, credit unions, mortgage brokers and commercial banks all make home loans available to consumers. Special assistance is available for people in low- to moderate-income levels. Many people who never dreamed they could own a home are pleasantly surprised to learn they qualify for help with down payments and credit counseling. Three organizations that provide this type of assistance have toll-free numbers - Consumer Credit Counseling Services, Housing Counseling Clearinghouse, and Fannie Mae.
To begin your home buying process, you need to determine the price range you should explore. One of the most effective ways to determine your price range is by pre-qualifying. When you pre-qualify, your financial situation is reviewed to determine how much money you can borrow. It does not mean you are pre-approved for a loan, but you will have a good idea about the price range of homes you can buy. Your Realtor or financial institution can help you pre-qualify. This is a great way of learning how much house you can afford to build or buy through the home builders in Charlotte NC.
After you choose your home, you will need to secure the funds to make the purchase. The boy scout motto, “always be prepared,” will help you through the loan application process. You will be required to disclose detailed information about your financial situation. Having the following documents with you when you apply for your mortgage will speed up the process.
Mortgage Application Checklist
Contract
Legal description of the property
Price
Personal Information
Social Security number and driver’s license for all borrowers
Home addresses for the last two years
Divorce decree and separation agreement, if applicable
Income
Most recent pay stubs
Documentation on any supplemental income: bonuses, commissions
Names, addresses and phone numbers of all employers for the last two years
W-2s for the last two years
If self-employed or commissioned sales, copies of last two years tax returns with all schedules and year-to-date profit and loss for current year, signed by an accountant
Documentation of alimony or child support, if such income is to be considered for the loan
Real Estate Owned
Names, addresses, phone numbers and account numbers of all mortgage lenders and landlords for the last seven years
Copies of leases and two years tax returns for any rental property
Market value estimate
Liquid Assets
Complete names, addresses, phone numbers and account numbers for all bank accounts
Copies of the last three months statements for all bank accounts
Copies of any notes receivable
Value of other assets (auto, household goods and collectibles)
Cash value of life insurance policies
Vested interest in retirement funds, IRAs
Liabilities
Names and account numbers for all revolving charge cards; balance and current monthly payment amount for each
Names, addresses, phone numbers and account numbers for all installment debt; approximate balance and monthly payment for each
Alimony or child support payments
Names, addresses, phone numbers and account numbers of accounts recently paid off, if used to establish credit
NOTE: This information was adapted from Building Your Home: An Insiders’ Guide, available through the BuilderBook Press, National Association of Home Builders in Washington DC. As the nation’s leader in building literature, BuilderBook Press offers consumers practical information concerning all phases of home building, remodeling, maintenance and homeownership. A copy of Building Your Home: An Insiders Guide and hundreds of other publications is available by calling (800) 223-2665 or visit www.BuilderBooks.com.
Please feel free to also peruse our expansive CedarCroft Homes website. As some of the premiere home builders in Charlotte NC, we’re proud to offer our clients and potential customers information about home building, property purchases and mortgages that will make your decisions easier and more informed.
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