If you’ve just started working and saving but you desire to have your own house and own car, you may not need to wait for a decade or so for your dreams to come true. But that’s only possible if your mortgage application gets approved.
Mortgage has been viewed by many as a form of lifesaver especially today. It’s getting harder and harder to come up with payments for monthly bills so how else can ordinary consumers afford to have their dreams come true? With the help of mortgage companies, however, they may just have that dream house and car before the year’s end.
What Do You Have To Know About Mortgages?
If you’re new to the mortgage scene and absolutely do not have a clue about where and how to start then you’ve found the right page to learn more about a no doc mortgage. Here, we shall be introducing you to the topic of mortgages and give you information about everything you have to know, from the types, to tips on choosing a reliable mortgage provider to suggestions on what you should do in order to qualify for a loan or mortgage.
Types of Mortgages
All you have to do is open an accounting or finance textbook or browse the internet and right away, you’ll get to know about the different types of mortgages. But more often than not, the descriptions provided are somewhat too confusing or too technical for lay people to understand. We know that, so with each type of mortgage we’ll be explaining, we make sure that we do so simply and clearly.
Base Rate Mortgage
We’ll start with a fairly easy one, the base rate mortgage. This type of mortgage has its roots founded on the rates provided by the Bank of England. I’m not sure if you’ll be able to find a mortgage provider in the United States that offers this type of mortgage but when you do, you’re at least familiar with how it works. Anything else you have to know, simply ask a solicitor – it’s the British way of calling lawyers, by the way.
Fixed Rate Mortgage
The interest rate for the mortgage you’re applying for shall remain fixed or constant.
Variable Rate Mortgage
The interest rate for the mortgage you’re trying to qualify for varies and is dependent on the wishes of the mortgage provider.
The Right Mortgage Company
Simply put, don’t just trust any mortgage company and don’t sign anything without reading the contract thoroughly.
This is a mortgage that doesn’t require any income documentation, but is based on the credit score and the property. Many self-employed or business owner’s take advantage of No Doc Mortgages since they usually write off the majority of their income.
How To Pass Mortgage Qualification Interviews
Never lie about your finances and check your credit ratings first before passing your mortgage application form.