Can I Qualify for a Mortgage?
Qualifying for a mortgage depends on several moving parts, including credit, income, debts, savings, property type, and loan program guidelines.
These articles and videos explain common qualification questions in plain English so you can understand what may affect your options before you apply.
Credit questions
Credit does not have to be perfect, but it does matter. These resources explain how credit scores, negative items, disputes, and credit history can affect qualification.
- A few words about credit scoring A plain-English overview of how credit scoring can affect mortgage options.
- Is my credit good enough to qualify? How to think about imperfect credit when preparing for a mortgage.
- How negative items affect your credit score Why late payments, collections, and other issues may matter.
- You can recover from credit disasters What recovery can look like after major credit problems.
- Credit repair What to know before trying to repair credit for mortgage qualification.
- Be careful what you dispute Why credit disputes can sometimes create mortgage approval complications.
- Can I qualify without hurting my credit score? What to know about credit pulls and mortgage prequalification.
- Can I qualify if I don’t use credit? Understanding mortgage options when you have limited traditional credit history.
Debt and monthly obligations
Lenders look at more than your income. Existing debts and required monthly payments can affect how much mortgage payment fits within loan guidelines.
- Can I qualify with credit card debt? How revolving debt can affect your qualifying picture.
- Can I qualify with student loans? How student loan payments may be counted when qualifying.
Savings, down payment, and closing money
You do not always need as much cash as people assume, but you do need to understand down payment, closing costs, prepaids, and available assistance options.
- How much down payment do I need? A starting point for understanding down payment requirements.
- What are closing costs and prepaid expenses? The costs buyers often overlook before closing.
- How much money do I need to close? How down payment, closing costs, and prepaids come together.
- How can I augment my savings? Ways borrowers may be able to strengthen available funds.
- Down payment assistance programs What to know before relying on assistance to qualify.
- Can I qualify without paying closing costs? Why “no closing cost” options still need to be understood carefully.
Income and employment
Lenders look for income that can be documented and reasonably expected to continue. These topics explain how different work and income situations may be reviewed.
Job changes and employment history
- Can I qualify when changing jobs? How a job change may affect timing and documentation.
- Can I qualify with a new job? What may matter when your employment recently changed.
- Can I qualify without a job? Why income source and documentation matter.
Variable or non-traditional income
- Can I qualify if I’m self-employed? How lenders may review self-employment income.
- Can I qualify if I’m a contractor? What may matter when income is not traditional W-2 income.
- Can I qualify if I just started a business? Why business history can be important.
- Can I qualify with commission income? How variable income may be averaged or documented.
- Can I qualify with bonus income? When bonus income may be usable for qualification.
- Can I qualify if I’m retired? How retirement income may be considered.
Life events and credit history
Divorce, support income, bankruptcy, and foreclosure do not automatically mean you cannot qualify, but they can affect the loan strategy and timing.
- Can I qualify if recently divorced? How divorce-related income, debts, and property issues may be reviewed.
- Refinance to buy out an ex-spouse A Texas-specific issue that can come up when dividing home equity after divorce.
- Can I qualify with child support or alimony income? When support income may be counted for qualification.
- Can I qualify after bankruptcy? How bankruptcy history may affect mortgage timing.
- Can I qualify if I previously lost my home? What to know after foreclosure or a similar housing event.
Home equity and refinance questions
Refinance and home equity qualification can depend on your current mortgage, available equity, property value, credit, and the purpose of the new loan.
- Can I qualify to take cash out of my home? What lenders review when you want to borrow against home equity.
Investment and rental property questions
Rental and investment property loans can follow different qualification rules than loans for a primary residence.
- Can I qualify for a mortgage for rental property? How qualification may differ when the property is an investment.
Loan program and property type questions
Some qualification questions depend on the type of loan, the type of property, or specific program rules.
- Can I qualify without paying mortgage insurance? Understanding when mortgage insurance may or may not apply.
Not sure where to start?
You do not have to know which rule applies before asking the question. If you are trying to understand whether you may qualify, we can help you look at the moving parts and explain your options.