Frequently Asked Questions

Less than most people expect. Conventional loans start at 3% down, FHA at 3.5%, and VA and USDA can be zero down if you qualify. Putting 20% down avoids mortgage insurance, but waiting years to save it often costs more in rising prices than the insurance would have.

A prequalification is an estimate based on what you tell us. A preapproval verifies your income, assets and credit through actual underwriting. In a competitive offer, only one of those carries weight with a seller.

About fifteen minutes to apply, and usually the same day to issue the letter once we have your documents. It typically stays valid for 60 to 90 days and takes minutes to refresh.

No, and doing it the other way round is usually better. Knowing your budget first means you tour houses you can actually buy, and a lender can often refer you to agents who work well with buyers at your price point.

FHA can work from around 580, conventional generally from 620, and the best pricing starts near 740. If you are below where you want to be, we can usually identify the two or three specific actions that move your score fastest.

A mortgage inquiry has a small, temporary effect. Multiple mortgage inquiries within a 45-day window count as a single event, so shopping several lenders does not compound the damage.

Lenders look at debt-to-income, generally up to about 43% to 50% depending on the programme. That is a ceiling rather than a recommendation. The affordability calculator works from your income; a conversation works from your life.

Yes. It usually means two years of tax returns and a profit-and-loss statement rather than pay stubs. Bank statement programmes exist for borrowers whose returns understate their income. It is more documentation, not a barrier.

Typically 2% to 5% of the purchase price, covering lender fees, title, appraisal, taxes and prepaid insurance. They are negotiable between buyer and seller, and in many markets sellers routinely contribute toward them.

It protects the lender when you put down less than 20%. On conventional loans it comes off automatically at 78% loan-to-value, or on request at 80%. On most FHA loans it lasts the life of the loan, which is a common reason to refinance to conventional later.

It depends entirely on how long you keep the loan. Points buy a lower rate for cash up front, so there is a break-even month. Stay past it and you win; refinance or move before it and you lose. We will show you the actual number rather than a rule of thumb.

Typically 30 to 45 days from accepted offer to closing. The preparation before that — credit, budget, preapproval — is as long or short as you want it to be.

Do not open new credit, finance a car, change jobs, or move large unexplained sums between accounts. Underwriting re-verifies before closing, and any of those can derail a loan days before the finish.

An independent valuation the lender requires. If it comes in below the contract price you can renegotiate, make up the difference in cash, dispute it with additional comparable sales, or walk away if your contract allows.

Usually on the first day of the second month after closing. Close in March and your first payment is generally due 1 May, because mortgage interest is paid in arrears.

Yes, and on most loans there is no penalty. Even modest extra payments early in the term remove a surprising amount of interest, because that is when the interest portion is largest. The amortization calculator will show you exactly how much.

When the monthly saving recovers the closing costs well before you expect to move or refinance again. It can also make sense to shorten the term, drop mortgage insurance, or take cash out even if the payment does not fall.