Having reflected on the last 25 years and how mortgage rules and guidelines have changed, one thing I can say that hasn’t changed is “the basis of the mortgage application.” In short: what’s your story???
At the end of the day, after your income documents have been reviewed and your credit has been checked, what the lender wants to know is “what’s your story?” Remember, the person who approves your mortgage application is usually not the same person who sits down and goes over your application with you. Typically, its another person who does not know you, and that person needs someone to explain “your story” to them. Although your mortgage specialist will try to describe your story through your documentation, such as with your job letter, paystubs, etc, it is always best to give your mortgage specialist the details that may not appear on paper.
Some questions that may apply to you:
- Why did you take some time off work?
- Why didn’t it work out in that line of work?
- Why did you have a huge gap in income?
- Why did your income level drop so much or go up so much, in a short period of time?
- How come your credit score went down so much in a short amount of time?
- Why do you not have a lot of history on your credit?
These are some of the things that your mortgage specialist will need to know to do a good job for you in obtaining the best mortgage package! Help your mortgage broker help YOU!