There are a variety of opportunities in the Atlanta real estate market for both buyers and sellers. If you're a prospective buyer click here for a full home search, or if you're considering placing your home on the market, get a free home value report, right here.
When starting to search for a new home, an important step is meeting with a mortgage lender. They will be able to get you pre-approved for a loan so you know what kind of home you can afford. How do these lenders determine that figure? There are 4 basic things that they look for. They are:
1. Credit Score
The first thing a lender will check is your credit score. Typically, you will need a score above 600.
2. Debt-to-Income Ratio
The more debt you have compared to your income, the less money you will be able to afford for your loan.
3. Income
They will take a closer look at your income to determine if you make enough money to afford payments on the loan.
4. Down Payment
Finally, lenders will look at the size of the down payment you plan to put down. There are a number of options out there for how much you can put down, in both conventional and FHA arenas. You can choose how much you want to put down, but regardless of the final number, you will still need some cash in order to purchase a home.
If you have any questions about getting pre-approved or about anything real estate related, give us a call or send us a quick email. We will give you the answers you need.
