3 Easy Steps toward a Mortgage or Refinance Loan
At InterContinental Capital Group, Inc., we make home mortgages as simple as possible. Our mission is to provide a streamlined and straightforward mortgage process. When applying for a mortgage or refinance loan, there are 3 steps to remember. We call this the 3 C’s: Credit, Capacity and Collateral.
Credit
Your credit score is the first item we’ll assess when determining your eligibility for a loan. This helps us understand how you manage debt.
Capacity
Capacity means your ability to make your monthly loan payments. We look at a few key factors when calculating this aspect.
collateral
Collateral is essentially the value of what you’re financing in comparison to the amount of the loan.
A score of 720 or better is considered “excellent” whereas a rating of 660 to 719 would fall into the category of “good”. Anything less doesn’t necessarily disqualify you for a home purchase or refinance loan. Our loan experts can guide you on the available options for your particular situation. Contact us to give you some helpful advice on how to improve your score.
Our loan experts are here to give you guidance. We look at how much you make versus how much you’re spending on loans, insurance, utilities and other basic living expenses. Your savings and retirement accounts along with other financial assets can also be figured into the equation, and these could give you an added advantage. For those in an FHA loan, an FHA Streamline Refinance does not require income data.
We ensure you have the collateral for a smooth and seamless transaction. For our purposes, it would be the home you’re purchasing or refinancing. In a fluctuating market, we have to look at not only the worth of the property itself but also the property values in the area surrounding the home.
Our goal is to provide you with the best possible loan. These “3 C’s” help us paint a clear picture of how much you can afford to pay on a mortgage each month, how likely you are to make your payments on time and how much you can potentially borrow against a property without exceeding its actual value. Once we make this determination, you’ll be well on your way to home ownership or refinancing.
