Every Monday Morning at 8:15am, join me on my Facebook page as I sit down with a local lender, and do a live interview and talk about a Mortgage Tip that may help YOU with your next Real Estate Purchase.
This morning I sat down with Mark Waterman from Great Western Bank. Listen in as Mark explains why it's important to get pre-approved before you start looking at homes. You can reach him at 605.627.0602 or Mark.Waterman@GreatWesternBank.com His office is located at 1302 6th St., Brookings SD 57006 or on the web at www.GreatWesternBank.com
The Importance of Being Pre-Approved
- Good mornin' everybody, Shane here from the Brookings Home Team powered by Century 21. Monday morning, 8:15. Episode 100. Can you do that? Do it like, here we go.
- Okay. 'Cause that's backwards.
- It's backwards?
- Episode 100. So first of all, thanks everybody for watching, and you know, just participating here in our crazy Monday Morning Mortgage Tips. Hopefully everybody's learning something every once in a while. And thank you to Mark and all my other banker friends who have agreed to do this for 100 episodes. That's crazy. So thanks, thanks everybody again for that. So, as you're jumping on here guys let us know; give us a heart, give us a thumbs up. If you have a question, let us know. If we have time, we'll try to answer it. Otherwise, we'll do it on our next episode, as well. But, Mark, what kind of tip do you have for us today?
- Thanks again for joining me.
- No, it's cool that we made it to 100, and still going strong. I did want to touch briefly real quick. Rates this last week have gone up like a good quarter to a half, kind of across the board through the different products. So, just FYI, you know, you might wanna just double-check with your lender, and you know, to see if you're gonna be locking in your rate, or something like that, that they haven't moved too much. But, what I was gonna talk to you about, as far as what you think you qualify for, kind of a good rule of thumb. I think most people say, as far as affording a house, it's roughly four to five times your salary. As far as, you know, the actual cost of the house that you should be buying. You know, obviously it's our job to calculate your income, and so I would encourage you, you know, to make sure that you come in and do that. There's different, you know, we've talked about it before, there's different scenarios. There's hourly people, commission, bonus, things of that nature that you may think you qualify for a, you know, more of a house than you actually do or vise versa. It's just very important to come in, let the underwriter see what you would qualify for on the secondary market. Typically, your total housing, debt-to-income, we like to keep it under 30%, and that's including principle interest, taxes, and insurance. Okay, so that is like the 30% because your total debt-to-income ratio that's allowing for credit cards, student loans, car payments, things of that nature. We like to keep that under like 45% total. So, just highly encourage you, you know. A lot of people have good ideas to what they want to, they feel comfortable paying, but at end of the day, if you are seriously shopping for a home, make sure you provide your financials to the mortgage loan officer up front and then it makes the shopping part a lot easier.
- Good, yeah. Some great information there. So, yeah. Thank you for that
- Yeah, well, again that's pretty awesome that we're at 100 episodes, and a lot of different topics have been talked about.
- A lot.
- We have done a lot there, so a lot of library resources, information for you to go back on. But, the men in blue today.
- Yeah, blue painting, blue shirts.
- And apparently if we wear white, we're scientists, according to his son there. Was it your son?
- So, Blake?
- So Blake, thanks for letting us know that we are scientists now. So it's great to put that on our resume. Just kidding. Anyway, thanks again guys for watchin'. Have a great Monday, and again, be sure to share and tag this video with anybody you think would be, that would benefit from it as well. We'll be back next Monday for another Monday Morning Mortgage Tip, Episode 1-0-1. That was 11.
- Oh, sorry, yeah. So, you're good
- Have a great day guys. We'll talk to you later.
- Thank you.