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what do lenders care about besides credit

my balloon mortgage is almost due. need to figure out what to do next. by elliot_maxi from Concorde, California. Jul 24th 2013 Reply


Joe Metzler (JoeMetzler)
#18 ranked lender in Minnesota - 3,981 contributions

While credit is important, we are also looking at loan-to-value, debt-to-income ratios, job stability, and more. Generally lenders are looking for the Three C's. Character: From your credit history, a lender may decide whether you possess the honesty and reliability to repay a debt. Capital: A lender will want to know if you have valuable assets such as real estate, personal property, investments, or savings with which to repay debt if income is unavailable. Capacity: This refers to your ability to repay the debt. The lender will look to see if you have been working regularly in an occupation that is likely to provide enough income to support your credit use. In MN and WI, vall me at 651-552-3681 or click my name to the left for more info

Jul 24th 2013
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William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,726 contributions

Good question... most people have been brainwashed into thinking that if you have a good credit score, your automatically approved.. obviously it's not true.. I've had borrowers with 760 credit scores get denied.. Lenders will look at mid credit score, your job, your type of employment, your income, and your type of income (commissions, salary, hourly, self employed), your debt, your credit history (BK's, foreclosures, tax liens, unpaid student loans, etc.), and from all this information, they will make a determination as to your eligibility.. every scenario is different and for that reason, the only way you will know for sure is to apply.. The best advice I can give you is to contact a LOCAL mortgage broker and apply with them. Do not use the local "Big" bank, or one of those 50 states internet lenders or nationwide lenders...By applying with your LOCAL Broker, you have an advantage because he's familiar with local customs and works with numerous lenders, seeking out the best loan terms for your particular scenario. Because he has lower overhead, he can offer you lower rates and lower fees than most of the larger lenders.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

Jul 24th 2013
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David Sanders (David_Sanders)
#809 ranked lender in California - 59 contributions

Hi Elliot, Obviously the others have answered this quite well. DTI (debt to income) is critical in getting a new loan. LTV (Loan to Value) obviously will play into what loan you will get or if you qualify. If you are underwater you may not even qualify for the refinance. If you had a foreclosure or BK that is also considered. I would say your probably mainly concerned with income.

Jul 24th 2013
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Barb Lanis (BarbLanis)
#70 ranked lender in Illinois - 663 contributions

As always, William and Joe nail the answer perfectly. Read their advice and find a local lender.

Jul 24th 2013
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Adrielle Edwards (AdrielleEdwards)
#903 ranked lender in California - 96 contributions

You need to either refinance or sell the home in order to avoid the balloon payment. If you choose to refinance you should be aware that lenders will look at your credit rating (your middle score to be exact), your credit history, your income, type of income (whether it be salary, commission, hourly, etc..). As has already been stated, each scenario is unique and for the most accurate information.

Jul 24th 2013
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Jason Vondrak (jvondrak)
#220 ranked lender in California - 1,741 contributions

Lenders are going to look at your income, your debt-to-income ratio, the amount of equity you have in the property (if refinancing). Have your considered refinancing your mortgage to a fixed-rate? This will give you peace of mind that you monthly payment will remain the same for the life of your loan. We are licensed in California and can go over your different refinance options with you. Feel Free to give us a call at 858-605-0952.

Jul 24th 2013
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Michelle Curtis Loan Originator NMLS 401173 (EmbassyFundingLLC)
#77 ranked lender in Florida - 2,240 contributions

Your loan to value and debt to income ratio as well as a two year work history.Call us or email us at 201-962-3555 or Team@BestMortgageOption.com for ano cost no obligation analysis of your situation ask for Michelle or Benny. We will find the Best Mortgage Option to suit your needs! Check us out at www.BestMortgageOption.comAsk us about the awesome discounts we offer heroes as a Homes for Heroes affiliate!

Jul 24th 2013
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Stacey Nielsen (Unitywestlending)
#910 ranked lender in California - 123 contributions

We care about you Elliot. Let's start there. Give us a call and let us try to help when you are ready to move forward. Check our reviews on Trustlink.org and call anytime for Loan information, Daily rate quotes, Rate Watch Program, 714-881-5970

Jul 30th 2013
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Justin Brown (justin_900_440)
#648 ranked lender in California - 23 contributions

Hi Elliot, Prospect is correct :) it sounds like you should really speak with a lender to check out all your options. If you are looking for quick easy answers feel free to call me 909-833-3200 ext 2

Jul 24th 2013
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Steven Cook (stcookmortgage@gmail.com)
#38 ranked lender in Washington - 256 contributions

Your biggest concern will be if you have made all your payments on the mortgage on time for the past 12 months.Then, that you have gainful employment and that your debt to income ratio is within acceptable ratios.I would agree with Prospect that you should look at getting it refinanced into a fixed rate loan for 30 years, and then ifyou have enough cash flow you can make extra payments to clear it sooner, but in the meantime you wouldn't have toworry about future balloon payments, or the payment changing.If you want to get in touch with one of my associates at Bay Equity in San Jose, I am sure they would assist you in coming up with the best program for your situation. Their phone number is 501-604-6526.

Jul 24th 2013
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Dave Metsker (DaveMetsker)
#37 ranked lender in Oregon - 2,317 contributions

In addition to credit, your income, debts and property value will be considered.

Jul 24th 2013
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Jeff Albrecht (Doctor_Mortgage)
#95 ranked lender in Texas - 77 contributions

Elliot - hello.Think of a refinance as a 3-legged stool = Loan to Value % (LTV), Debt to Income ratios (DTI %), and Credit Scores.We are going to look at the Value of your home / divided by its appraised value;what you spend divided by what you make, DTI %;and then what do your credit scores qualify you for (Loan Programs).A balance of these 3 (yes, along with assets and a strong or stable income to pay the loan back).Click on my profile to the left, and then click on my email address.I lend in the continental US. I look forward to talking to you. Thanks...Jeff

Jul 24th 2013
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