Buying a Home in the Bay Area
Loan Pre-Approval is Your
First Step in the Bay Area ✅
In this article, let’s look at how to navigate homes for sale in California’s Bay Area. Some of the more important questions are how to qualify for loans, what the monthly gross income is versus debt ratio, and more.
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How do I qualify a loan: Gather information
Monthly gross income and the following documents:
Your last two months worth of bank statements (on all accounts)
Last two years of W-2 or 1099
Last two years’ worth of Tax Returns
Debt: looking for revolving vs installment
Work History:
How much do you make per hour or are you salary?
How long have you been thee at this job and/or in this industry?
Do you have any other jobs or source of income?
Do you rent? If so, what is your monthly payment?
If you own a home: what is your monthly payment?
Have you ever declared bankruptcy? If so, how long ago and what was the situation?
If you receive child support or income alimony: use this as assets
Are you a first time home buyer in the Bay Area?
What are your assets?
How much do you plan on putting down for the loan? Where is this coming from?
Can we pull credit?
What’s your threshold?
have specific information to run what we call AUS. Here this will call let us know if the client is eligible or not. If not how do we help you become eligible?
Begin the pricing based on what I have received. Show in a spread sheet the different loan comparison based on a few different thing
Different loan amounts
Different rates (based on points purchased)
Submit and get a pre-approval if it is a Purchase submit as TBD.
Submit to our inhouse Processor
Submit to our in house Underwrite
Steps above will have conditionals
Do I need to be pre-approved: Yes
How do I know I can afford it: this is where the LO and Realtor have to have a heart for the client and work together
Great question: that’s why we do what we do: you will know where you have to be according to the DTI and LtoV
have specific information to run what we call AUS. Here this will call let us know if the client is eligible or not. And help you become eligible
Begin the pricing based on what I have received. Show in a spread sheet the different loan comparison based on a few different things
Different loan amounts
Different rates (based on points purchased)
How much to put down: depends on the loan you are getting: 0-20%
There are so many different types of loans: Standard, Calhfa, Hard Money Loans, Non QM, High Balance, House2Home (grant) this is our in-house loan program we have for those who need help.
