What Are Reserves in Mortgage
What are reserves in mortgage? Are you in the process of purchasing a house or you want to purchase a house but you’ve been told you need reserves? While many first-time home buyers are aware of their need for a down payment and even closing costs, you may not be aware of reserves. You may […]
What Credit Score is Needed to Buy a House?
What Credit Score is Needed to Buy a House? You should have a credit score of at least 580 if you want to buy a house. While there are programs to help you buy a house if your credit score is as low as 500, you’ll find it much easier to qualify with a credit […]
How Long is a Pre-Approval Good For?
How long a pre-approval is good for can vary, but generally they will last for at least 90 days before they need to be refreshed.
Does Getting Pre-Approved Hurt Your Credit?
Will Getting Pre-Approved Hurt Your Credit? If you’re thinking about buying a home, you probably know that your credit plays an important role in getting approved for a mortgage. The better your credit score, the better your terms usually are, so making sure you have the best score possible is important. However, you’ve likely also […]
Mortgage Underwriting: What You Need to Know
What Is Underwriting? Buying a home is a huge commitment’s for you and the lender. With the amount of money involved the lender has to make sure that you are able to repay the loan on time. Underwriting is the process the lender uses to determine if you can repay the loan. The mortgage underwriting process […]
What is Manual Underwriting?
Underwriting is the process lenders use to determine if you can be approved for the home loan you’ve requested. When it comes to how underwriting is done, you have two different options: If you’ve had past credit issues you may need to consider using manual underwriting in order to give yourself the best chance of […]
Renovation Loans: Finance Your Home Improvement Dreams
Home renovation loans provide you with funds to buy and fix up a home in Louisiana. Despite the renovation portion of the loan, it’s still a mortgage. You apply for one loan and have the money to buy the home and complete agreed-upon renovations. The type of loan you choose determines what you need to […]
What Is AUS? – Automated Underwriting System
If you are currently going through the mortgage process you may have heard of aus. AUS stands for Automated Underwriting System. The aus in mortgage is needed in order to determine if you are able to be approved for a home loan. AUS stands for Automated Underwriting System, and it’s a program used by mortgage […]
What Mortgage Documents are Needed to Buy a Home?
I’ve seen many people become overwhelmed with the vast amount of mortgage documents that are often required in order to purchase a home. Since first-time homebuyers make up about 30% of all home buyers, it’s no surprise that this can be a shock. About 70% of the people we help at Bayou Mortgage are first-time […]
Why Do I Have To Provide Bank Statements to Get a Mortgage?
The process of getting a mortgage can feel personal and frustrating. This frustration is usually at its peak when the loan officer begins to request documents from you. Why do you have to provide bank statements when getting a mortgage? Let’s find out! Why Your Loan Officer is Requesting Your Bank Statements Your loan officer […]
What Does a Loan Officer Do?
What Is a Loan Officer? A loan officer is someone who takes loan applications and provides rates, fees, and terms regarding the loan that you are applying for. A mortgage loan officer is someone who takes mortgage loan applications, and discusses rates and terms with potential borrowers. Most MLO’s or mortgage loan officers are licensed […]
What Is PMI? (Private Mortgage Insurance)
I’m still amazed at how many people I speak with who believe that you need 20% down to purchase a home. Maybe you’re reading this and you have also believed that was true. The great thing about all of the home buying programs available now, is that you don’t actually need a large down payment […]
What Is Debt-To-Income Ratio?
What is Debt-to-Income Ratio? Debt-to-Income ratio is a percentage that tells lenders how much of your money you are spending each month versus the amount you have coming in. Your DTI is calculated using your total monthly obligations and dividing them into your total monthly gross income. This number will be a percentage known as […]
Can I Buy A Home With Student Loans?
An alarming amount of adults are strapped down with some kind of student loan baggage. In fact, around 65% of college-educated adults, and as much as 12.9% of total people in the United States have student loan debt. When asked about why they hadn’t bought a house yet, many adults responded that student loans were […]
How Much Are Closing Costs in Louisiana?
Average Louisiana closing costs for home buyers will typically run from 2%-5% of the total purchase price of the home. More expensive homes will fall in the 2% end and less expensive homes would be closer to 5% If you are purchasing a home for $300,000 your costs would likely fall between 2-3% of the cost of the home. A $100,000 home would be closer to 5% of the cost of the home.
