Qualifying for a Mortgage

Credit History:

 A purchaser's credit history is used to determine how you will repay your debts in the future.

Down Payment:

 The down payment to purchase a home must be from purchaser's own resources. Gifts from immediate relatives are acceptable for the down payment. We also have mortgage option available with no down payment. 

Income:

The most important part of the mortgage approval process is your ability to repay your mortgage. All lending institutions base their income qualifications on G.D.S. (Gross Debt Service) and T.D.S. (Total Debt Service) Ratios.

GDS Ratio:

indicates the percentage of your gross annual income that is used for the payment of your mortgage plus taxes and heat. This percentage may not exceed 35%. For our borrowers with exceptional strong credit the GDS ratio does not apply.

TDS Ratio:

indicates the percentage of your gross annual income that is used for the payment of your mortgage plus taxes and heat, plus all other term and credit card debit. This ratio should not exceed 42%.For our borrowers with exceptionally strong credit the TDS ratio may go to 44%.