Things have tightened up in the housing market since the housing crisis and lenders are looking at mortgage applications more closely. Lenders consider many factors before deciding whether to approve applicants. Once you know what they’re looking for, you can boost your chances of getting approved. Check out five factors that mortgage lenders often consider.
1. The Size of Your Down Payment
2. Your Credit History
3. Your Work History
4. Your Debt-to-Income Ratio
5. The Type of Loan You’re Interested In
Every lender is different. That’s why it’s a good idea to find out in advance what different lenders are looking for so you can put your best foot forward.
Ultimately, you’ll need to be honest with your lender if you want to get approved for a mortgage. Misleading your lender or hiding information won’t make your situation any better. And it could come back to haunt you if you’re stuck with a mortgage that you can’t afford to pay off.
Read more: https://smartasset.com/mortgage/factors-mortgage-lenders-consider
By: Liz Smith, SmartAsset