Ogden Utah Homes
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Northern Utah Mortgage Info
Ogden Utah Morgages
The first step to buying a home in Ogden Utah is to get prequalified for a home loan. Unless you have means to pay for a house, there is no use starting the home search if you won't actually be able to buy one. Complete the form below to get an estimate of what the real costs of a home loan will be, and how much you can afford. After speaking with a lender you can also get prequalified.
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Qualifying for a Mortgage Loan
To qualify for a home loan you generally need to qualify under three major categories:
- Good Income and Job History - Lenders like to see two years of job history in the same line of work. They don't like to see new careers, even if the new job offers more money. School usually counts towards work experience for recent college graduates. Lenders also need to see traceable, consistent income.
- Good Credit Score and Debt Ratio- Most home loans these days require a minimum credit score of at least 620. To get the best possible interest rates you usually need to have credit scores in the 700's. In addition to the FICO score, lenders also look at your debt to income ratio. Your new house payment usually can be no more than 28% of your monthly gross income, and your total debt usually can't exceed 35% of your gross monthly income.
- Down Payment - A few years ago you could buy a home with nothing down. There are a few small programs, the Utah Housing Loan for first time home buyers, and the Rural Housing Loan (for rural areas) where you can still purchase with 0 down. FHA loans require a 3.5% down payment, and unless you have a 20% downpayment you will have to pay for mortgage insurance. For conventional loans you usually need atleast 10% down, and 20% down to avoid Mortgage Insurance.
