1st Step to Buy a House
At AJM Mortgage, Inc. we are here to provide you with the information and advice that you need in order to achieve the home of your dreams and to better improve your quality of life.
The Obama Administration has implemented a number of programs to assist homeowners who are at risk of foreclosure and otherwise struggling with their monthly mortgage payments. The majority of these programs are administered through the U.S. Treasury Department and HUD.
Distressed homeowners are encouraged to contact their lenders and loan servicers directly to inquire about foreclosure prevention options that are available.
No Regrets Home Buying!
The best list of steps and tips for buying a home ever...
“I wish I had known” is not something you want to think or say after you move into your new home. Your investment is just too important to feel sorry about makingit after you’ve made it. David Simon, Vice President of AJM Mortgage, offers the following steps to make the home buying process much easier, less stressful, and allows new homeowners to feel happy and secure with their purchases.
How do I know which type of mortgage is best for me? There is no simple formula to determine the type of mortgage that is best for you. This choice depends on a number of factors, including your current financial picture and how long you intend to keep your house. AJM Mortgage can help you evaluate your choices and help you make the most appropriate decision.
How do I know how much house I can afford? Generally speaking, you can purchase a home with a value of two or three times your annual household income. However, the amount that you can borrow will also depend upon your employment history, credit history, current savings and debts, and the amount of down payment you are willing to make. You may also be able to take advantage of special loan programs for first time buyers to purchase a home with a higher value. Give us a call, and we can help you determine exactly how much you can afford.
What is credit score and what is it designed to do? "The FICO score is the single best summary score of one's credit worthiness," says E-Loan President and Chief Operating Officer Joe Kennedy. A credit score number is often called a FICO score, for Fair Isaac Corp., the California company that developed the system upon which it is based. When you apply for credit – whether for a credit card, a car loan, or a mortgage – lenders want to know what risk they'd take by loaning money to you. When lenders order your credit report, they can also buy a credit score that’s based on the information in the report. A credit score helps lenders evaluate your credit report because it is a number that summarizes your credit risk, based on a snapshot of your credit report at a particular point in time.
How to read and understand your credit report...The lender told you to get a copy of your credit report as part of the pre-qualifying process for a mortgage. FICO credit scores have a 300–850 score range. The higher the score, the lower the risk. But no score says whether a specific individual will be a "good" or "bad" customer. While many lenders use FICO credit scores to help them make lending decisions, each lender has its own strategy, including the level of risk it finds acceptable for a given credit product. There is no single “cutoff score” used by all lenders and there are many additional factors that lenders use to determine your actual interest rates.