MORTGAGE INFORMATION
The mortgage market has changed drastically over the last few years.  No longer is the local bank the only source of mortgage money.  If you're considering purchasing a home, the key is to first know what price range home you can buy.  To avoid disappointment and a lot of wasted energy, it is best to seek the advice of a mortgage specialist prior to looking at specific homes.  Make an appointment with a lender and get pre-qualified.  They will then supply you with a pre-qualification letter, which you will bring to me.  Then I'll know how to start our search on the perfect home just right for you and your family.

Click on a link below for more information

Contact Me: Debo@HomesOfWilkes.com

 

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Copyright © 2004, Homes of Wilkes. All rights reserved.
Updated: 04/08/2008

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TIPS FOR APPLYING FOR A MORTGAGE
This information is intended as helpful information for the potential purchaser of real estate in securing funding.   It does not take into effect the daily changes in the mortgage market, nor the requirements of individual lenders.

Anyone planning to purchase real estate should first get pre-qualified by a mortgage lender to verify the loan amount available and thus the price home the borrower may purchase.  This saves a lot of time, energy, and disappointment.  If a buyer finds their dream home, and either their income or credit history is inadequate to secure a loan for that property, this can cause a great deal of stress, both for the buyer and seller.  For this reason, many sellers will not even consider an offer from a purchaser who has not been pre-qualified to purchase their property.

The following steps will prepare you for the mortgage application process:

STEP ONE:
It is suggested that buyers meet with a potential lender before viewing property and definitely before an offer is presented on a piece of property.  If a buyer has been pre-qualified by a lender, they may have already completed a loan application, which is the first step to acquiring a loan.  Nothing happens until the application has been made. 

STEP TWO:  LOAN UNDERWRITING PRACTICES (For first mortgage loans on dwellings that will be the borrower’s principal residence):
After a loan application is completed the financial institution will decide if they will approve (underwrite) it.  The guidelines for most lenders are very similar for first mortgages, because many of these loans are sold in the secondary mortgage market (often called "selling their paper").  Several criteria must be met for approving a loan.

  • EVALUATION OF BORROWER’S FINANCIAL STATUS:
    The lender is very concerned that the borrower be able to repay their loan and pay all other debts and living expenses at the same time.  In evaluating the borrower’s ability to do this, they will consider the following:

    • ADEQUACY OF ASSETS TO CLOSE THE TRANSACTION:
      The borrower must have sufficient assets to complete the sale.  Lenders don't usually allow the borrower to borrow money from other sources to pay the down payment for closing costs (includes loan origination fee and discount points).  If parents want to help the borrower by providing funds for a portion of the down payment, the lender may require the parents sign a statement saying that the money is a gift, not requiring repayment, and not a loan, which would require repayment.  This is called a “gift letter”.  Second mortgage financing may be allowed if the borrower can make the down payment (usually considered about 20% of the price) and pay closing costs.  Lenders don't typically allow this for high loan-to-value ratios (loans for more than 80% of the value of the house).  Having assets such as cash, savings, stocks, bonds, and real estate may make the lender more flexible in their qualification standards.

    • TYPE OF INCOME:
      Regular income is considered regular and stable for a period of time (2-3 years continuous).  Overtime pay may be acceptable if the borrower can show (using tax records, pay stubs) that this pay has been regularly received over a number of years.  For commission income and income of the self employed, the borrower must be able to confirm their income over the past several years, requiring tax records.  Child support and alimony are acceptable if paid court ordered and if they can verify that past payments have been regular.  A lender will NOT consider income that is not reported for tax purposes.  So if you don't declare it on your tax return, you don't declare it for purposes of acquiring a loan.

    • STABILITY OF INCOME:
      Most first mortgage loans are for a long period of time (15 to 30 years).  Therefore, the lender wants to know the borrower has a stable income.  To do this, the lenders consider the borrower’s type of work, type of income, and length of time in current job or field.  It is normal for lenders to want borrowers to have been in their position for a considerable amount of time with a future in their employment.  They don’t look favorably at frequent career changes if the borrower is not advancing in their career.  Lenders will contact employers to verify employment and income.  For self-employed borrowers, lenders will require copies of income tax returns for several years previous.

    • ADEQUACY OF INCOME:
      Ratios are the key.  The lender needs to know that the borrower can make their mortgage payment and pay other bills (car, student loans, child support, etc.) as well as normal living expenses (groceries, utilities, etc.).  The lender will use ratios, depending on the type of loan, to determine the borrower’s adequacy of income. 

STEP THREE:  PREQUALIFICATION OR PREAPPROVAL LETTER  After studying the credit and income of the borrower, the lender will supply the borrower with a pre-qualification letter verifying the maximum amount of a loan available to the borrower.  This loan is traditionally 80% of the value of the home, but can be more depending on the lender and qualifications of the buyer, and should be specified in the letter.  Take a copy of your pre-qualification letter to your Realtor, who will keep it in your file.  This letter will be the foundation of prospective home viewings and future offers.  Some borrowers will actually start the mortgage process and be preapproved for a certain amount so we know when an offer is made, as long as the property appraises for the value offered and it adheres to any stipulations required by the lender, the purchase will go through.

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MORTGAGE LENDERS

The mortgage market has changed drastically over the last few years.  No longer is the local bank the only source of mortgage money.  If you're considering purchasing a home, the key is to first know what price range home you can buy.  To avoid disappointment and a lot of wasted energy, it is best to seek the advice of a mortgage specialist prior to looking at specific homes.  Make an appointment with a lender and get pre-qualified.  They will then supply you with a pre-qualification letter, which you will bring to me.  Then I'll know how to start our search on the perfect home just right for you and your family.  Below is a partial list of local mortgage banks and brokers to get you started.  If I can help you with the process, contact me at Debo@homesofwilkes.com  

This list is provided for informational purposes and in no way recommends or guarantees their services. 

MORTGAGE BANKS, SAVINGS & LOANS & CREDIT UNIONS

MORTGAGE CORPORATIONS & BROKERS

BB&T
900 River St., Wilkesboro, NC 28697
(336)667-4060

                      OR
901 Main St., N. Wilkesboro, NC 28659
(336)667-8842

Allied Mortgage
Darla Smyers
(336)838-9200
Mgr2463@AlliedHomeNet.com

Sun Trust Mortgage formerly Central Carolina Bank and Trust Co.
Vickie E. Harris, Mortgage Loan Officer
924 Main St., N. Wilkesboro, NC 28659
www.suntrustmortgage.com
(336)667-2705

Arcadian Mortgage Corp.
Rebecca Haas, Owner
602 North Spruce Street, Wilkesboro, NC  28697
(336)838-4444
www.ArcadianMortgage.com
Rebecca@ArcadianMortgage.com and
Tina@ArcadianMortgage.com

First Citizens Bank
North Wilkesboro-Main, 116 Wilkesboro Ave.
N. Wilkesboro, NC 28659
(336)667-2241

                      OR
Wilkesboro-Main, 1905 Highway 421 North
Wilkesboro, NC 28697
(336)667-4107

Mortgage Specialist, Inc.
817 C. St., N. Wilkesboro, NC  28659
(336)667-5131

Piedmont Federal Savings & Loan
200 Wilkesboro Avenue
North Wilkesboro, North Carolina 28659
Jane Chambers, Branch Manager
(336)667.9211

Foothills Mortgage
Kelly Barlow, Mortgage Consultant
(336)667-5133

State Employees Credit Union - Wilkesboro
1100 Brushy Mountain Rd.,  Wilkesboro, NC 28697
(336) 667-5288
(800) 452-6595

wilkesboro@ncsecu.org
www.ncsecu.org
 

Wachovia Bank
Wilkesboro Main Financial Center
210 W. Main St., Wilkesboro, NC  28697
(336)651-5980

                      OR
North Wilkesboro Main Financial Center
215 Ninth St., N. Wilkesboro, NC  28659
Phone: (336)651-7840

Vickie Harris, Mortgage Consultant
Wachovia - Boone
(828)262-4690
Vickie.Harris@Wachovia.com

 

Yadkin Valley Bank
Natalie Lambert, Mortgage Specialist
516 Hawthorne Drive, Yadkinville, NC 27055
                      OR
301 West Main Street, Wilkesboro, NC. (336)838-0123

                      OR
1404 W. D Street, N. Wilkesboro, NC 28659. (336)838-3300
natalie.lambert@yadkinvalleybank.com 

 

 

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Mortgage Calculator
This calculator is intended as a tool to assist you in estimating future costs.  It in no way guarantees amount quoted by lenders.
Mortgage and Expense Information
Put in the information you have and click on "Calculate" for your estimated amounts in the lower portion of the calculator.
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