FAQS
WHAT IS THE DIFFERENCE BETWEEN PRE-APPROVAL AND PRE-QUALIFICATION?
A pre-approval is a written binder issued by a lender after a full analysis of the creditworthiness of the applicant, including verification of income, resources and other such matters as is typically done as part of a normal credit evaluation program. Whereas a pre-qualification is an estimation of your borrowing given by a professional from a lender and can be accomplished with a simple phone
call.
DO I NEED A DOWN PAYMENT TO BUY A HOUSE?
The Mortgage Mall, Inc. offers low down payment financing. Opportunities are determined on the loan product, loan purpose, occupancy and credit profile. Loans may be up to 90% of a property’s current appraised value. Our professionals will help you understand how this affects your loan.
WHAT WILL MY RATE BE?
Rates vary from client to client and are based on a variety of factors such as credit history, ability to repay, loan purpose, the value of the collateral, and loan amount. This are just some examples.
HOW MUCH MONEY CAN I GET?
It all depends on two things, debt to income ratio and the amount of equity you have on your property. to calculate your debt to income ratio take all your monthly debts and divide by your monthly gross income. Our underwriter will take a look at the percentage and determine what you can afford to pay per month.
HOW IS THE LENDING DECISION MADE?
When reviewing your application our underwriter examines your credit history, your property value and debt to income ratio. these factors describe you as a mortgage applicant, this perceived level of risk determines your loan decision as well as your interest rates (in some cases).
CAN I LOCK MY INTEREST RATE WHEN PURCHASING A HOME?
The Mortgage Mall, Inc. does not always require a property address to lock a rate. However, the borrower must provide the property address no later than 30 days after locking the rate.
WHAT IS INCLUDED IN THE CLOSING COSTS?
Closing cost includes, appraisal fees, title insurance fees, attorney fees, pre-paid interest and documentation fees to name a few. these times vary from each borrower due to differences in type of mortgage and property location. a good faith estimate of your closing costs will be provided in advanced of your closing date for your review.
WHAT IS PMI?
PMI (private mortgage insurance) protects lenders against losses that can occur when a borrower defaults on a mortgage. PMI is required on first mortgage transactions when the borrower has less than 20% down payment. It is also required on first mortgage refinance transactions when a borrower has less than 20% equity in the property being refinanced. the cost of the PMI is typically included to the monthly mortgage payment.
WHEN SHOULD I REFINANCE?
If you currently have a mortgage loan that is too expensive or too risky to live with, you can refinance into a better loan with Mortgage Mall. Things may have changed since you borrowed money, and several ways may be available for you to improve your loan's terms. Refinancing allows you to shift the debt to a better place.
CONTACT US
If you have any questions about pre-qualification or not sure which loans to choose. Please feel free to reach out to us over the phone or email and we will gladly assist you without any commitment.
1-202-216-9838