Sir Winston Churchill once said we should never waste a good crisis. That could be a good way to look at what we are enduring now.
If you had been thinking about buying a home there may be some great opportunities now that weren’t available just a couple of months ago. Sales that collapsed due to financing disappearing, people who need to sell so they can complete a purchase they are committed to, divorce brought on by isolating at home. There are numerous reasons why properties are listed for sale. A good crisis brings opportunities to the forefront. If you are prepared, you can act quickly when these opportunities present themselves.
If you are buying a home and need a mortgage or refinancing your current mortgage there has been some changes regarding the approval.
New approval process
Since the implementation of the stress test to mortgage qualification in January 2018, the process became tougher. With the economic situation today, lenders have become even more conservative. Every lender is trying to mitigate the risk to their investors, so caution is the key word right now.
Confirming you have a regular source of income has always been required. Now lenders are asking for income verification to be confirmed prior to issuing an approval. Many have added the condition of receiving a current pay stub two weeks prior to completion.
Because many lenders have closed branches or reduced the hours they are open it may be difficult arranging a convenient time to meet. Social distancing guidelines make many people nervous about seeing someone, period. When it is time to sign documents most lenders will now accept digital signatures.
Over the last 4 years the Ingram Mortgage Team has invested in industry leading technology which allows us to offer a totally digital mortgage experience. Using your phone, tablet, laptop or computer you can easily complete our secure online application and upload documents directly to your file. Your approval and other documents will be emailed to you with an explanatory video. All documents can be signed and returned digitally. We are finding this process takes the stress out of applying for a mortgage.
Be sure your preapproval is a Functional PreApproval.