Is Mortgage Money Available?
Mortgage Qualification Criteria Tightened, But Loans Available to Those Who Qualify
One of the biggest issues affecting the local real estate market is the prevalence of inaccurate information. The media is hammering buyers and sellers with phrases like "mortgage crisis," "credit crunch," and "mortgage money drying up."
While there was a recent period of predatory lending practices that caused some buyers to get in over their heads, the mortgage industry has taken positive steps to correct itself. Despite the headlines, mortgage money is available (through many local lenders) to qualified buyers and at interest rates that remain near 30-year historical lows.
When it comes to securing a mortgage, you should be aware that lenders are being more diligent in their review of applicants' qualifications. They're placing more emphasis on credit scores, income verifications and bank balances. But that doesn't mean money is not available for home purchases. If you're interested in buying a home, be sure to review your credit history and do your best to address any issues before visiting a lender.
There are a variety of loan products available to buyers with varied qualifications. The best thing you can do is to visit a mortgage professional to obtain a pre-approval prior to beginning your real estate search. By doing this, you'll know if and how much of a mortgage you may qualify for.
