The homebuying process can seem complicated. Bank of Tennessee Mortgage Bankers work with you for a smooth home-buying experience.
If you take things step-by-step, you will soon be holding the keys to your own home.
Determine what you can afford. House-shopping is easier when you know what your budget will allow. Your Mortgage Banker will help you find the type of loan that works best for you. You should know the following information to calculate how much house you can afford:
- Your gross monthly income
- Other monthly income
- The amount you can make as a down payment (either a percentage of the purchase price or a dollar amount)
- Your total debt information (such as auto loans, installment loans, student loans, revolving accounts including credit card accounts, other loans/debt)
- The mortgage loan information (interest rate, term in years)
Get prequalified for a mortgage. When you are prequalified for a loan, sellers are more likely to seriously entertain your offer. Make a prequalification appointment with your Bank of Tennessee Mortgage Banker. Be prepared to sign a credit check release and answer the following questions:
Employment and income
- Where do you work?
- How much do you make?
- How long have you been at your job?
- How is your income derived - steady salary or irregular income?
- What recurring debts do you have?
- How much do you pay a month for auto loans or credit cards?
- How much of your monthly pretax income do these debts consume?
Cash reserves and assets
- How much money do you have in the bank?
- How much will be left after you pay your down payment and closing costs?
- How much money are you putting down?
- Is this your own money?
- If not, is it a gift from your parents or a nonprofit agency grant?
Loan purpose and property use
- Is this mortgage for a home buy or refinance?
- Is it investment property?
- Do you plan to live in the house?
- Is this mortgage for a house, condominium, duplex, etc.?
You should also bring the following documentation to your meeting:
- Most recent consecutive two years' W-2 forms
- Most recent consecutive paycheck stubs covering a 30-day period
- Most recent consecutive two months' statements on all checking, savings, investment and 401k accounts
- Additional information may be required in cases of divorce, bankruptcy, self-employment, etc
Contact a Bank of Tennessee Mortgage Banker at (866) 378.9500 for more information.
*Subject to credit approval.