Before you
apply.

What should I do before shopping?

Start with your credit and your budget. Review your credit reports early so there is time to correct mistakes, decide what monthly housing payment feels comfortable, and think about what you have saved for a down payment and closing costs. It helps to talk with a lender before you tour homes, so you know what to expect. Try to hold off on opening new credit or making large changes to your finances until we have talked.

What happens during pre-approval?

You complete an application and share information about your income, assets, debts and credit, which usually includes a credit check. If it looks workable, you receive a pre-approval letter showing what you may be able to borrow, which you can share with sellers. A pre-approval is not a final loan approval. Final approval comes after underwriting reviews your file and the home is appraised and reviewed. It also doesn’t commit you to a lender.

What documents should I gather?

Pay records, bank statements, debt details and employment history are the usual starting point. See the document checklist for what to collect and how to send it securely.

What costs should I prepare for?

Besides your down payment, expect closing costs such as lender, title and appraisal fees, plus prepaid items like insurance and taxes. A home inspection and moving costs add to that. Once you own the home, your monthly cost includes more than principal and interest: property taxes, homeowners insurance, mortgage insurance if it applies, HOA dues and upkeep. After you apply, your lender provides a Loan Estimate that lists estimated closing costs. See what goes into a monthly payment, or try the payment calculator.

How do assistance programs relate to loan types?

Down payment and closing cost assistance is usually offered through state or local housing agencies and nonprofit organizations, not through the loan type itself. Each program sets its own rules, which can include income limits, purchase price limits, credit requirements, homebuyer education and which loans it can be paired with. So assistance works alongside a loan such as FHA, VA or conventional, it isn’t a loan type of its own, and not everyone qualifies. Ask me which programs might fit your situation and what they require. A HUD-approved housing counselor can also help you explore your options. See the loan options.

How can I discuss my situation with Danika?

Call or text me at 772-626-8790, or email danika@ecmortgagelenders.com, and tell me where you are in the process. When you’re ready, you can also start an application online (opens in a new tab). Please don’t send Social Security numbers or account numbers by regular email or text.