In today’s housing market, buyers need to meet some strict standards to get the lending seal of approval. Rodney Anderson, executive director and managing partner of Rodney Anderson Lending Services, has the three things you must have to be approved for a mortgage right now:
1) A lender must be able to verify your income. No longer are mortgage lenders accepting stated income, no ratio loans (mortgage lenders were not examining the debt to income ratio), and low documentation loans. You have to provide your paycheck stubs and/or tax returns. The Federal Reserve has made these types of loans illegal starting in 2010. You should also be prepared to show bank statements for 60-90 days.
2) Assets. Lender must verify assets such as verifying your checking, savings, 401K, and Investment Accounts.
3) You must have a 620 credit score and above. No one is accepting credit scores below 620. Many credit ratings require 740 or above but the absolute lowest is 620.