Mortgage Tips Archives

01 Oct 2026

Why the Money in Your Bank Account May Need a Paper Trail Before Closing

Mortgage Tips

Having enough money in the bank is an important part of buying a home, but during the mortgage process, the amount in your account may not be the only consideration. In certain situations, lenders may also need to understand where funds came from. That can surprise buyers who assume that once money reaches their account, its history no longer matters. Mortgage Funds May Need to Be DocumentedDuring the mortgage process, buyers may provide bank or asset statements showing money available for the transaction.If an account contains certain recent deposits that are not easily explained by the documentation already provided, additional…

30 Sep 2026

By Tawnya King

Why Changing Jobs for More Money Can Still Complicate a Home Purchase

Mortgage Tips

Getting a new job with a higher salary sounds like good financial news, especially when you are preparing to buy a home. But if the change happens while you are applying for a mortgage, the timing can create additional questions. Mortgage qualification is not based solely on how much you earn. Lenders also evaluate the stability, history, and documentation of the income being used to qualify.Higher Income Does Not Automatically Mean Easier ApprovalA substantial raise can strengthen a buyer's finances, but a new employment situation may need to be reviewed before that additional income can be used.The type of compensation…

29 Sep 2026

By Tawnya King

How a Seller Credit Can Change the Cash You Need Without Changing the Home’s Price

Mortgage Tips

When buyers negotiate the purchase of a home, price often gets most of the attention. But the final sales price is not the only number that can affect how much money a buyer needs at closing. In some transactions, a seller credit can help with certain eligible closing expenses without requiring the seller to reduce the home's purchase price. What Is a Seller Credit?A seller credit, sometimes called a seller concession, is an amount the seller agrees to contribute toward certain buyer costs associated with the transaction. Depending on the mortgage program and transaction, eligible costs may include items such…

23 Sep 2026

By Tawnya King

Could Paying Off a Debt Before Applying for a Mortgage Actually Be the Wrong Move?

Mortgage Tips

Paying off debt sounds like an obvious way to prepare for a mortgage. After all, fewer monthly obligations can improve cash flow and potentially help with mortgage qualification. But using a large portion of your savings to eliminate a debt immediately before buying a home is not automatically the best strategy. Sometimes the money in the bank can be just as important as the debt you want to eliminate. Not Every Debt Has the Same ImpactMortgage qualification considers monthly debt obligations, but paying off every balance does not necessarily produce the same benefit. The amount owed, required monthly payment, type…

22 Sep 2026

By Tawnya King

Why Your First Mortgage Payment Might Be Farther Away Than You Expect

Mortgage Tips

After closing on a home, buyers may be surprised to discover that their first regular mortgage payment is not necessarily due a few weeks later. Depending on the closing date, there can be a noticeable gap between receiving the keys and making that first payment. Understanding why can help new homeowners plan their finances during an already expensive transition.Mortgage Interest Works Differently Than RentRent is generally paid in advance. A payment made at the beginning of the month typically covers the right to live in the property during that month. Mortgage interest generally works differently because it is paid in…

17 Sep 2026

By Tawnya King

How Buying a Home With Someone You Are Not Married To Changes the Financial Conversation

Mortgage Tips

Buying a home with a partner, friend, sibling, or other person can make homeownership possible sooner and allow two people to combine their financial resources. But when two people who are not married purchase a home together, there are financial conversations worth having before they begin looking at properties. A mortgage may be shared, but income, debts, savings, credit profiles, and expectations about ownership can be very different. Applying Together Means Sharing the Financial PictureWhen two people apply for a mortgage together, the lender evaluates information from both borrowers. That can include income, employment, debts, assets, and credit histories. One…

16 Sep 2026

By Tawnya King

What Happens to Your Mortgage Options When a Home Does Not Appraise as Expected?

Mortgage Tips

You have negotiated a purchase price, your offer has been accepted, and the mortgage process is moving forward. Then the appraisal comes back lower than expected. For buyers, that can be unsettling, but a low appraisal does not automatically mean the purchase is over. What happens next depends on the contract, available funds, financing, and what the buyer and seller are willing to do. Why the Appraised Value Matters to Your MortgageMortgage financing is generally based in part on the property's appraised value. If a buyer agrees to pay $425,000 but the home appraises for $400,000, the lender does not…