Tips on getting approved for a mortgage?

[Wandering MGHOWParticipant 551]

I am in a position where I make enough money to afford the bills for a condo that I’m looking at, but the main problem is I don’t have the money up front to actually purchase it. This is where getting approved for a mortgage comes in. I have been desperately trying to get the f~~~ away from my c~~~ ass mother for months/years now but was never in a position to afford it. I’m in a better financial situation now and can afford it, but getting approved is the hard part. I tried to apply about 8 months ago and was denied. This crushed me and sent me into an even further depression knowing that I would still be “trapped in prison” (a.k.a mom’s house) for the foreseeable future.

I think they didn’t like the fact that I haven’t been at my current job for that long. I also work part-time so they may have not liked that either since I don’t make much money. Now my situation hasn’t changed much since the last time I applied, but there are a few things different. First off, I am still at the same job, which shows an additional 8+ months more of employment longevity. The second thing in my favor is that my credit is better than it was (although it was “good” back then too). Finally, the third reason is that I now own an investment property. I was able to buy it with some cash that I had saved up over the years. I’m not sure if this matter much to the banks, but it would definitely make paying the bills easier and I would have virtually no problems in that department thanks to my additional income. I hope they would take something like that into consideration.

Does it sound like I have a better shot of getting approved these days? I don’t want to keep trying because it can damage my credit but I’m so desperate to move out and be on my own where I can finally be at peace. My soul is crushed living here and constantly being nagged at by my mother and shamed by her. I’m in my late 20’s so I’m sure you can imagine how frustrating it is to be a grown man and having to put up with a dumb buffoon of a mother. Are there any tips that any of you can share that may increase the chances of getting approved? Does it sound like I have a better chance this time around. Please help me out boys! Thanks.

[HitmanParticipant]

work history….improved
credit history…improved
collateral…improved
i would get a credit check and if it’s good, so are your chances .
good luck brother-man !
offer a co-signer if needed…ask mom..
one thing i can tell you in life my friend..
if you don’t ask, you don’t get .

[BeerParticipant 11832]

Go join your local credit union. I joined one a few years back and in my experience they have better deals on accounts, lower interest rates, and there are simply less fees and s~~~ involved with getting a loan or refinancing. I tried to refi a mortgage at one point through my local bank I had used since I was a kid and they declined me…I had an 800 credit score, never late on a payment since I had the original mortgage I just wanted a lower rate since rates had dropped significantly, and I had about 8 years of steady income and full time employment at the same job at that point. I closed all my accounts with them that day and moved all my money to my local credit union and 2 weeks later I had my closing on a refi that was .75% lower than what the other bank was offering even if they approved me.

They also charged a lot less for the loan…I think I saved about 400 dollars in bulls~~~ fees vs what the regular bank would charge me had they approved me, and they didn’t even make me get a pointless appraisal, the loan officer just did a quick zillow search and was like good enough, you aren’t underwater lol.

I’m no expert but I don’t think its the fact you work part time that f~~~ed you, its probably that you didn’t have that income level for a long enough time, and your previous income level wasn’t enough to borrow any decent amount of money. If you go in there now and show w2s from last year with a decent income and stubs from this year showing your on track for a good year, plus have a year or so at least in your job now, they’ll look at that differently than had you gone in there last year with a couple pay stubs like “look I just got this nice job a month ago how much will you loan me?”

[Wandering MGHOWParticipant 551]

If I were to quit my current part-time job and get a full time job making slightly more money, would that be looked at as a good thing? Would they see me as untrustworthy for switching jobs so often (I have a bad work history), or would they understand that it was a switch to a higher income? Would my work history “reset” if I started at a new job, or would the 1 year streak of steady employment stay in tact?

Overall, does working part-time affect my chances of getting approved? And if so, how bad? Do I need to quit and find a full time job ASAP?

[BeerParticipant 11832]

I don’t think its part time status that is f~~~ing you as much as not having a stable work history with a steady income. When I got my original mortgage I was working 2 part time jobs, but I had been at one for 3 years and it was the second year in a row I was on track to gross over 30k.

Last year I got a new, better paying job and was thinking about buying a house closer to work. I went down to the bank with literally my first pay stub from the new job and explained to them I had been at my last job for 10+ years and just got a new job making quite a bit more money, how much would they pre-approve me for, and they were more than willing to run my debt to income ratio to calculate how much I could borrow off my new income. I seriously doubt they’d have done that if I had gone in there with several years worth of a much lower income and a lot of job hopping and was only able to prove a very short period of higher pay, but like you said, you’ve been at your job another 8 months now…if you can show a decent income from last year and pay stubs that put you on track to make a good amount this year, and you’ve been at your job for a year+ now they should look at you much more favorably.

Worst case scenario, they tell you no, in which case you say ok, and spend the next 6-12 months saving more money and doing whatever you can to boost your credit score. I don’t know your situation that well but if you have a decent credit score and have money for a down payment those things should work in your favor as well. You also may find one bank shoots you down and the next is more than willing to work with you, so it doesn’t hurt to shop around a bit.

The other thing that may actually be hurting you is the investment property. If you have a mortgage on that they are going to count that against you when they calculate your debt to income ratio, and I’m really not sure how they’d look at rental income in that calculation, especially if its something you recently acquired. If its paid off and you can’t get a mortgage and you really want to get the f~~~ out of mom’s house, you might consider a home equity line of credit against the investment property to buy the condo.

[MattNYCParticipant 2329]

If you ask, the bank that rejected you for the mortgage has to tell you why. It may be as simple as “Well, your credit score is good, but you have limited credit history”; depending on how old you are, that’s a realistic possibility.

You can also straight-up ask the loan officer (i’m under the assumption this was at your local bank?) about how your circumstances have changed, how that might affect another loan decision. Hell, ask them point blank “What do you need to see to approve a mortgage? Is it more income? More income over a longer period of time?”

Ask the loan officer for specific, concrete goals you can show that’d get you to an approval. If the loan officer can’t/won’t tell you, ask for his manager.

One other note – if you feel like you *have* to get out now, i’d recommend renting an apartment for a few months. As you know, mortgages are big decisions, and i hate making “big decisions” with that level of stress & urgency in the picture.

[Wandering MGHOWParticipant 551]

Beer wrote:

The other thing that may actually be hurting you is the investment property. If you have a mortgage on that they are going to count that against you when they calculate your debt to income ratio, and I’m really not sure how they’d look at rental income in that calculation, especially if its something you recently acquired. If its paid off and you can’t get a mortgage and you really want to get the f~~~ out of mom’s house, you might consider a home equity line of credit against the investment property to buy the condo.

I’m happy to say that the investment property is fully paid off. So can you elaborate more on a home equity line of credit? Is it something that I may be able to find useful in my situation? For the record my credit is in the mid-700’s.

There’s one more thing I forgot to mention that may be a hindrance. I did a VERY stupid f~~~ing thing a few years ago back in my blue-pill days. I leased a f~~~ing car and I’m paying a few hundred a month for it. I have a little over a year left to go on the lease and maybe the banks don’t trust me with the car payments AND a mortgage. I f~~~ed up big thank god I became a MGHOW and won’t ever make silly mistakes ever again. After I dump this stupid f~~~ing car, I’m getting a bicycle.

[MGTOWmonkey aka No More Fucks To GiveParticipant 6635]

Keep your rotating balances close to zero as possible,and also you have to get some line of credit if you dont have any like a Walmart card,dept store etc. Spend the damn thing and pay it off every month and do this for 4 more months which will put you at a year since your last inquiry.

Never lose sight of what brought you here.

[BeerParticipant 11832]

A heloc is a loan against the equity of your property. Essentially you’d be using equity in your investment property like a giant savings account to get the money to buy the condo…could be an option if the investment property is worth more than the condo, otherwise it’d be pointless. I’d honestly do what I had to do to just get the regular mortgage though and suck up living at home a bit longer…if the s~~~ hit the fan I’d rather lose a cheaper condo I couldn’t pay for than default on a more expensive investment property which is paid for right now…but just saying its an option if you absolutely have to move right now and you are confident you can pay it back.

And yes…the lease payment will count against you. The bank will factor in any sort of debt or monthly payments, but really if a few hundred a month got you declined you probably want to up your income a bit or save a little more for a down payment so your monthly mortgage payment is cheaper. Don’t forget your going to have taxes and condo fees as well your monthly expenses will be a bit higher than just your principal and interest payments. You don’t want to be in a position where your savings goes to zero, or where you end up f~~~ed the first time an unexpected bill pops up.

I completely get you want to move out of your moms house…I couldn’t wait to gtfo either when I lived with my parents. Just don’t shoot yourself in the foot and make a hasty decision that is going to cost you a fortune down the road for the sake of escaping a bit quicker. If six more months at home lets you get a better deal on a mortgage, get out from under your car lease, get to the top of your pay scale at work, and save a few thousand more for an emergency fund or to add to your down payment, just bite the bullet for six more months. It also doesn’t hurt to not jump on the first property you like for the sake of escaping mom either. You might find something similar with a different seller willing to let it go for a little less, or one that pops up on the market as a foreclosure you can get a deal on. You might want to just get pre-approved for a mortgage when you can with no specific property in mind and try to haggle on a few of them before committing to one.

[Wandering MGHOWParticipant 551]

The total worth of my investment property is NOT as much as the condo I’d be looking to move into. So I guess a heloc is not something that applies to me. I guess I’ll just have to wait it out another year or so to accumulate more work history and more money for a down payment. Also my car lease will expire in a little more than a year from now which is a good thing since the banks/credit unions won’t count those monthly payments against me anymore.

In the meantime I’ll just keep building my credit, keep saving money, and keep adding to my work history. Its very disappointing to remain here for another 12+ months but it seems to be the reality of the situation. My main question now is, would quitting my current part-time job and switching to a full-time job “reset” my work longevity streak? Will I start from 0 again if I do that?

[Wandering MGHOWParticipant 551]

More advice anyone?

[ResidentEvil7Participant 9544]

Try a financial advisor.

https://themanszone.webs.com/

[BeerParticipant 11832]

Just walk into your bank and ask to talk to a loan officer about getting approved for a mortgage. Just explain your situation to them and they’ll tell you where you stand. If you aren’t even seriously applying at that very moment they won’t even ding your credit, they’ll just ask for a ballpark figure. It won’t cost you anything except 10-20 minutes of your time.

You’ll probably find they’re more than willing to lend you money if you have a down payment saved, have decent credit, and can show enough income for a couple years to comfortably pay the loan back, they really won’t care if you work full or part time. You gotta remember…the last 5 people they talked to were probably in there with credit score under 400 looking for a 0 down loan on top of student loans, a car payment, and credit card debt….if you aren’t that guy you shouldn’t have an incredibly hard time getting a mortgage, or at least finding out what you need to improve in the next 6-12 months so you can get approved for one.

[Wandering MGHOWParticipant 551]

I’m a member of a credit union, should I try walking into one of them first?

[Wandering MGHOWParticipant 551]

I’m just so depressed right now. My 2015 shown earnings were weaker than I thought. If getting approved for a mortgage relies heavily on the last 2 years of verifiable income then I’m doomed for 2017. 2015 and 2016 are not good years for me, and I don’t think I can tolerate another DAY with my c~~~ of a mother. So much for my dreams of a nice MANsion or condo all to myself. I’m going to have to give those up and start being realistic. Here are my options:

1.) Rent an apartment, and essentially throw all my money away each month.
2.) Move to a less expensive state and start fresh there.
3.) Commit suicide. Unfortunately this is a serious option as I don’t think I can wait until 2018-2019 for a possible approval

I DO NOT make much money so this is difficult. I also have a dog who I love more than anything and it will be hard to rent an apartment with him. Let’s just say he is not the best behaved. I’m so gutted right now. I don’t even know what the f~~~ to do anymore. I just want to quit and throw in the towel.

[ResidentEvil7Participant 9544]

Save your money to have the money upfront. I suggest looking at foreclosed property. I’m reading a book right now I checked out from the library, and it’s about searching, negotiating, and making deals on foreclosed property. Banks don’t want foreclosed properties, so they may make you a deal on a house or condo cheaper. Like I said, you need 20% (1/5) upfront as an agreement to a loan. If you’re making enough money to pay for the expenses monthly, but don’t have enough right now to put 20% (down payment) in yet, then SAVE YOUR MONEY and then when you can, then invest in property. Good credit helps.

Personally I wouldn’t do rentals, because then you’re paying someone else’s mortgage, and if you stay more than 20 years, you may of bought a house while you’re stuck in a lease. A less expensive state could work. Suicide is the same as giving up and taking the easy way out. Don’t do it.

https://themanszone.webs.com/

[Wandering MGHOWParticipant 551]

Resident, the irony of this is that I have a good amount of cash saved, but its all pointless if I can’t get approved for a mortgage. I can come up with 20% of a property but no bank will lend me the other 80% after they see my weak 2015/slightly better 2016. I will have to end up staying here with my c~~~ mother until 2018/2019 the EARLIEST. I just can’t envision that.

[ResidentEvil7Participant 9544]

Then just keep trying. If one lender fails, then try another then another then another until one gets you what you want. It was the same thing with me and establishing credit. I had to apply to a bunch of credit apps before I got one, and it was with Sony, which is the only card I still have. So keep trying until one pulls through.

https://themanszone.webs.com/

[MGTOWmonkey aka No More Fucks To GiveParticipant 6635]

Go to creditkarma.com and enter your information and they will show you based on your credit score the cards you are most likely to qualify for. You cannot have too many inquiries because it takes points from your already bad score and making it worse. The cards they show will have very high APR,but this is the first step to establishing a good fico score.

Never lose sight of what brought you here.

[Wandering MGHOWParticipant 551]

My credit score is already mid 700’s. Its my poor shown income over the last year and a half that will get me denied.

[Author]

Posts