What Exactly is looked at by lenders to give a home loan?

Question

I know your credit, but what else exactly?

Answer 1

Credit
Income to Debt Ratio
Your Tax Returns
Your Bank Account (number of overdrafts)
Your Income (to determine how much of a payment you can afford.
Length of time at your current job.
Amount of money you have saved.
Amount in 401K and other investments

Answer 2

- INCOME -- this is and always will be the most important factor. They want to see if your income can cover your mortgage payment based on your house cost-- and they also factor in your other debts as well. This is called your debt to income ratio.

- Down payment.The higher the downpayment the more secure the loan is to the bank. So if you get 20% or higher, the banks will not be as strict on on requirements. If you get 5% or less down, you need to be well qualified in other areas.

- Other debt. The banks will look at your outstanding credit card debts, and other loans to determine if you can afford the payments.

Answer 3

Pretty much everyting:

1. Credit score
2. Debt to income ratio
3. Loan to value ratio
4. Employment or income history
5. Available cash for down payment and closing costs
6. Source of cash for down payment and closing costs
7. Appraised value of the home being purchased
8. Condition of the home being purchased

Answer 4

Credit, income to debt ratio, income to loan ratio.

Answer 5

They look at how much you make and how much you owe (your debt ratio). If they feel you don't make enough to pay what you already owe to other creditors and to pay them they most likely will not approve you for the whole ammount.

Answer 6

Your debt to income ratio.

Answer 7

your job, your household income, other loans,credit cards, payment to other companies you are currently making. and your assets