I recently bought a house and thought the whole pre-approval and putting an offer on a house was quite interesting. In the past, I’ve built a home so purchasing an existing home (and by myself) was something new. A bit heavy on the nerves, I migth add.
Going through the pre-approval process was somewhat in-depth but not all inclusive of my expenses, including one of my monthly major expenses: children. My credit was checked and my monthly debts such as my car were documented and calculated to determine how much I could afford. My car payment is the least of my expenses!! I checked with two lendors recommended by my realtor and both seemed very thorough and approved me for an amount that was workable. This was based on my calculations and knowing all my expenses.
If this is the normal process and all inclusive of how people are qualfied for home loans, in the interest of setting the bank and the home buyer up for a win, wouldn’t banks be in a better financial position to ask questions related to all personal monthly expenses?
Filed under: Personal
