Reasons Mortgage Lenders Decline Loans for Alexandria VA Homes for Sale
Being declined for a mortgage is frustrating, especially after you’ve found your ideal home. If this has happened to you, you’re not alone. Lenders deny mortgage applications every day for any number of reasons. Here are five reasons lenders decline loans for Alexandria VA homes for sale:
- Limited credit history. Lenders are taking a risk when they loan you money for a home. For this reason, they determine your risk by reviewing how you have managed credit in the past. If you have no credit history, the lender won’t be able to tell if you will repay your loan or not.
- Poor credit history. If you have defaulted on loans or overextended yourself in the past, lenders may be afraid you will do the same thing to them. The lenders don’t know you personally, so they look at your past credit behavior to see how likely you are to pay them back.
- Too much credit. As strange as it sounds, lenders sometimes turn down loans for [city] homes because the borrowers have too much credit available to them. If you have several credit cards with high limits, lenders may be afraid you’ll use all this available credit and then be unable to pay your mortgage payment.
- Inconsistent housing. Lenders look for stability because it makes you look more responsible. If you move frequently, whether it’s across town or across the country, you can appear unreliable. This makes you a credit risk to lenders.
- Insufficient income. Lenders want to make sure you’ll be able to make your monthly payments. If you are self-employed, change jobs frequently, or rely on commissions; lenders may view this as an unstable income. They may think you won’t make enough money each month to pay your payment.
Don’t waste your time or gas driving around looking for Alexandria VA homes for sale. I can help you. Click to: Search thousands of Alexandria VA homes for sale from the comfort of your own home 24/7. Or, call me today at 703-909-3939 or email Steve@HomeSearchWebsite.com, and I’ll do a search for you.
Steve Hawkins
Long and Foster REALTORS®
Springfield, Virginia
www.HomeSearchWebsite.com
Steve@HomeSearchWebsite.com
703-909-3939
[...] are many reasons why a mortgage loan for Alexandria VA homes for sale could be declined. It doesn’t have to be the end of your real estate dreams. Here are a few things to consider [...]