In general, to qualify, you must provide a series of documents that vary depending on the institution where the loan will be applied for.
Banks typically require the following information:
• Verify that the client has at least two years of employment or more.
•A certified letter from their accountant or lawyer regarding their source of income.
•Provide at least 2 or 3 banking and credit references (can be from any country).
•Demonstrate that the funds for the down payment and closing costs have been deposited into U.S. accounts. Funds for "reserves" can be verified in personal accounts in your country.
•A copy of your passport.
•A utility bill such as electricity or water, to verify your country of residence.
Most American mortgages are payable every month, and your local bank can arrange for the payment to be made directly through them. Property taxes and insurance premiums are collected monthly by the lender and paid annually by them.
Typically, your bank will deduct monthly:
• Mortgage Insurance (flood, hazard, hurricanes)
• Third-party insurance (optional)
• Property tax
• Additionally, if there is a homeowners association or condominium board, you will be responsible for directly paying the monthly maintenance cost.
What would my responsibilities be?
• Local loan interest rates start at 3.68%.
• Closing costs involved in financing range from 5% to 6% of the property value.
• After a bankruptcy declaration, the waiting period is 2 years for FHA and VA loans, and 4 years for Conventional loans.
• Generally, your bank will deduct monthly:
• Mortgage Insurance (flood, hazard, hurricanes)
• Third-party insurance (optional)
• Property tax
Additionally, if there is a homeowners association or condominium board, you will be responsible for directly paying the monthly maintenance cost.
What to do before applying for a loan?
•Get your credit report BEFORE applying for the loan so that you have time to correct any errors or issues in your history.
•Have a clear idea of how much you can put down as a down payment (including closing costs).
•Look for the best interest rate BUT consider the other terms of the loan.
•Compare quotes.
•Request a "good faith estimate."
What not to do before applying for a loan?
• Moving significant amounts of money between accounts.
• Applying for any type of loan (car loan, boat loan, credit cards, etc.).
• Changing your primary residence.
• Opening or closing bank accounts.
What would be my monthly payment responsibilities?
