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Sunday, 5 October 2014

Sea Pac Homes Financing Info For You

By Chad Sanders


The dream of owning a home in Seattle is one that most residents of this area carry. Some develops like Sea Pac Homes have seen this opportunity to build new houses for sell in here. Purchasing a home however is not cheap and only few people can afford to pay for it in hard cash. Financing homes through mortgages is the option they take.

Not everyone qualifies for home financing since the financiers have to be sure that the client will pay them back fully. Due diligence is conducted before a mortgage is approved. It is prudent to know what you are required of to qualify for financing of new homes Seattle.

Creditworthiness of a buyer is the first thing that a lender looks for as this will rate how good or bad one is with paying up their debts. The rate mostly ranges from 300 to 500. The lenders will have to use the past payments of the buyers and assess how and when they paid them. The pain comes to those who never paid these loans well enough because their credit score becomes low.

Normally the average credit score is about 650 which is not bad. You should start getting worried if your score does not go past the 620 mark since this is a bad score which will get very high interest rates if at all the mortgage is given. Make it above 720 and you are in the safe side where low rates will be charged. The rate depends on the capability of paying you have shown in the past.

To get financing to move in ready homes Seattle you should show your financial ability to pay back the loan. A stable income from employment is the one mostly considered than the self employed one which income can vary from month to month. Your debt to income ratio (DTI) is also considered. A person with a very high DTI will have less capability to pay and will most likely to considered. Most financiers will rarely lend to a person with 45% and above DTI

There is a third consideration which is very important to the financiers and that is the quality of the buyers collateral. This is therefore the Seattle new homes sold by Sea Pac. The real estate experts from the financier will do the valuation. A Loan to Value ratio (LTV)will be achieved from this, hence make the financiers calculate the value of the risk.

A lower LTV will increase your chances of getting financing to buy homes in Seattle. In case of a default in payment the lender will not lose anything since auctioning the home will not lead to losses. On the other hand a high LTV will attract very high rates if at all you get the financing.

Once you satisfy all the requirements above and any other that the financier could be requesting to be satisfied, you are set to buy Sea Pac houses. Immediately you buy the home you co-own it with the mortgage lender and you move in. Your life time dream of owning a home in Seattle finally becomes a reality.




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