info@tampabayhomes4sale.net
    Office: 727-584-8480 or 813-961-6000

Tampa Bay Homes for Sale

  • SEARCH
  • Areas
    • Hillsborough County
      • Apollo Beach
      • Brandon
      • Carrollwood
      • Citrus Park
      • Lutz
      • Plant City
      • Riverview
      • South Tampa
      • Tampa Bay
      • Valrico
      • Westchase
    • Pasco County
      • Hudson
      • Land O’ Lakes
      • New Port Richey
      • Odessa
      • Trinity
      • Wesley Chapel
    • Pinellas County
      • Belleair
      • Belleair Beach
      • Belleair Shores
      • Clearwater
      • Clearwater Beach
      • Dunedin
      • Indian Rocks Beach
      • Largo
      • Madeira Beach
      • New Tampa
      • Oldsmar
      • Palm Harbor
      • Seminole
      • St. Petersburg
      • Tampa Bay
  • Buy
    • Get Started
    • MyPlace
    • Short Sale Buyer
    • Short Sale Seller
    • First Steps to Buying
    • Free Home Buyer Handbook
    • Moving Checklist
    • Schools
  • Sell
    • What’s Your Home Worth?
    • List your Home with Us
    • Local Market Reports
    • First Steps to Selling
    • Sell Your Home Faster
    • Free Home Selling eBook
  • About
    • Blog
    • About Us
    • Agents
    • Testimonials
    • Contact Us

What Do Lenders Consider on Mortgage Applications in Tampa Bay?

What Do Banks Consider for Mortgages in Tampa Bay - Tampa Bay Homes for Sale

If you’re buying a home in Tampa Bay, you need to know which factors lenders consider when they’re deciding whether to extend you credit. That way, you’ll be extremely prepared when it’s time to get your preapproval letter.

What Lenders Consider on Mortgage Applications in Tampa Bay

When a lender gives you money, their main question is this:

“Can this person repay the loan according to the standard terms we set?”

For the most part, that’s all they care to know. Lenders use a number of factors to determine whether you’re likely to pay them back, including:

      • Your credit score. The banks will comb through your credit report (you’re entitled to one free copy of your credit report each year – and they truly are free if you request them through the USA.gov website). They view a low score as a high risk; conversely, they see a high score as a low risk. The higher your credit score, the more likely the bank is to lend to you on favorable terms.
      • Your debt-to-income ratio. Lenders consider how much you owe versus how much money you bring in to determine whether you’re likely to be able to repay them. If you owe a significant part of your monthly income to other creditors, lenders will be a little leery of giving you a large amount.
      • Whether your monthly mortgage payment will be more or less than 28 percent of your gross monthly income. Lenders want your mortgage payment to be 28 percent or less of your gross monthly income (the amount of money you make each month, before taxes). You can figure out what payment would work for you by multiplying your monthly gross income by 0.28.

        Here’s an example:
        If you make $3,000 per month before taxes, multiply that by 0.28. You’ll get $840. That means at your current salary, the banks will consider an $840 per month mortgage payment to be affordable for you.

Naturally, the amount of your monthly mortgage payment will depend on your interest rates and the total cost of the home you’re trying to purchase.

Buying a Home in the Tampa Bay Area

If you’re looking for a new home in Tampa Bay and the surrounding areas, call us at 727-584-8480 or 813-961-6000. Prefer to communicate online? Fill out our simple online contact form and let us know what type of home you’re looking for so we can start searching thousands of listings on your behalf.

Posted in: Blog, Financing

Post navigation

« Should You Apply for Joint Financing to Buy a Home in Tampa Bay?
How to Develop a Good Moving Strategy »

Local Tampa Weather

TAMPA WEATHER

RE/MAX ACR ELITE GROUP, INC. Hillsborough

13907 N. Dale Mabry Hwy., Ste. 101
Tampa, FL 33618
Office (813) 961-6000
Fax (813) 961-6016

RE/MAX ACR ELITE GROUP, INC. Pinellas

1465 S. Ft. Harrison Ave, Ste. 100
Clearwater, FL 33756
Office (727) 584-8480
Fax (727) 586-6789


© 2022 · RE/MAX ACR Elite Group,Inc. · Contact Us · IDX Sitemap · Sitemap · VIP Realtor Center
Log in · Agent IDX Login · Real Estate Websites by Real Estate Websites by YourSiteNeedsMe.com