Home    Loan Center    Products    About Us    FAQ    Resources  
  My Account  
  Login  
  Get Started  
  Contact Us  
FAQ
1. How do I know how much house I can afford? Answer
2. How do I know which type of mortgage is best for me? Answer
3. What does my mortgage payment include? Answer
4. How much cash will I need to purchase a home? Answer

Q : How do I know how much house I can afford?
A : There are several factors considered when qualifying you for a home loan.  We analyze your monthly income as well as your monthly debt, and figure the maximum payment you can afford based on a debt -to-income ratio.  The amount that you can borrow will also depend upon your employment history, credit history, and current savings. 
 
Q : How do I know which type of mortgage is best for me?
A : 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. Mortgage One of the South can help you evaluate your choices and help you make the most appropriate decision.
 
Q : What does my mortgage payment include?
A : For most homeowners, the monthly mortgage payments include three separate parts:
  • Principal: Repayment on the amount borrowed
  • Interest: Payment to the lender for the amount borrowed
  • Taxes & Insurance: Monthly payments are normally made into a special escrow account for items like hazard insurance and property taxes.
  • Depending on the loan program, such as FHA, or Conventional with less than 20% down, your payment may also include Mortgage Insurance.   

     
    Q : How much cash will I need to purchase a home?
    A : The amount of cash that is necessary depends on a number of items. Generally speaking, though, you will need to supply:
  • Earnest Money: The deposit that is supplied when you make an offer on the house
  • Down Payment: A percentage of the cost of the home that is due at settlement
  • Closing Costs: Costs associated with processing paperwork to purchase or refinance a house
  • However, many programs such as VA and RD do not require down payment.  You cannot finance the closing costs into the loan, but you may be able to negotiate the Seller paying all of the closing costs and prepaids on your behalf.  Many buyers are able to purchase a home with little to no money out of pocket, except for their initial upfront deposit.  Work with me and a local Real Estate Professional to negotiate the best option for you.