Frequently Asked Questions

A bank loan officer can only present you with the bank's current home loan options. A mortgage broker, on the other hand, can give you options from multiple banks they work with. Early on in the home-buying process, a mortgage broker helps you gather all of the documentation and information you'll need to apply for a mortgage, in addition to answering your questions about the whole process. Since obtaining a mortgage is a lengthy procedure, the application and loan closing process may be time-consuming, with a lot of back-and-forth and requests for documentation you thought you'd already submitted twice. At Ensource Financial, our team of qualified professionals will save you time and hassle by handling all the paperwork and dealing with the lenders on your behalf.

The initial consultation is the first step in the process, where we gather your basic information and prepare an initial mastersheet that you may check to see whether you can purchase the home of your choice under those conditions. After you decide to move forward, we need to ask you for some documentation and credit report that we will be using to prepare your pre-approval package that will allow you to make an offer on the house that you want. This step is similar to the initial consultation, but in this case the numbers are 100% accurate, since we are using verified data. Once your pre-approval package is ready, you are going to receive an email showing the results of our processing. This includes the best rate we found for you, the maximum purchase price you can afford, the loan term and the monthly payments. Not only do we find the best loan option for you, but we also can get you in touch with an excellent Realtor in case you don’t have one. After you are pre-approved and the offer is submitted, we need to go back and forth with you and the lender in order to get all the conditions approved as soon as possible. Finally, once all requirements are completed and you are clear to close, a date for the closing will be scheduled. At closing, you will have to sign some documents and you will receive the keys to your dream home. Additionally, we are committed to giving you the most comfortable experience, so you can expect lots of surprises from our CEO on the closing day.

The Lender, the Title company, the Listing Agent, the Seller, the Borrower(s), the Insurance Company and the Mortgage Broker (us).

It depends. An FHA loan requires a minimum down payment of 3.5% of the purchase price. The minimum down payment for a Conventional loan is 3% as a first time home buyer and 5% as otherwise. A VA loan does not require down payment. Most lenders require a minimum down payment of 20% for an initial investment property purchase.

The following amounts make up your monthly payment: Principal: A percentage of each mortgage payment goes toward repaying the principal, which is the loan's total amount. The amount of principal repaid on loans is arranged in such a way that it starts out low and gradually increases over time. Interest: the cost of borrowing money (as well as the lender's return for taking a chance on you). Mortgage payments are applied to interest rather than principle in the early years of the loan; this ratio gradually adjusts as time passes. Taxes: Local governments assess real estate or property taxes, which are used to pay public services. Taxes are calculated annually, but you can include them in your monthly mortgage payments by dividing the amount payable by the total number of mortgage payments in a given year. The payments are collected by the lender and held in escrow until the taxes are due. Insurance: Like real estate taxes, insurance premiums can be paid with each mortgage payment and held in escrow until the bill is due. There are two forms of insurance coverage that may be included: homeowners insurance, which protects the property and its contents from fire, theft, and other disasters, and private mortgage insurance (PMI), which is required for consumers who purchase a home with less than a 20% down payment.

Closing costs might account for 3–6% of the total loan amount. This means that if you take up a $200,000 mortgage, closing costs will range from $6,000 to $12,000. The loan origination cost, underwriting fee, attorney's fees, inspections and appraisal fees, title fees, escrow fees; and state, county, and local taxes are all included within the closing costs final amount.

Our services are lender-paid. This means we don't have to charge a fee for application, processing, and so on because the lender pays us directly. All of our estimates and pre-approvals are provided at no cost to you.

Our average closing time is 28 calendar days, but it could be even faster than that.

We can pre-qualify you and give you a full mastersheet using only notes, for which you don’t have to pull your credit. However, once you move forward with the pre-approval process, you’ll be required to do so.

You literally only need to click on this link and that’s it. If you are not sure about pulling your credit yet and have more questions about it, just give us a call or send us a message through our chat.

Lenders will only accept scores from accredited providers such as CIC Credit, and the interest rate you get is largely determined by your credit score.

It’s possible to use these apps to provide us with an approximate credit score that we can use for a mastersheet, but these apps cannot be used for the pre-approval process.

Income: There is no minimum income requirement for getting a mortgage with us, but you do need to show a consistent income over the last two years, this will demonstrate your ability to pay your mortgage. This is also true for self-employed mortgage borrowers, who must provide their business and personal tax returns for the past two years. Tax returns must show that income has been relatively constant or increased over the past 24 months. Future Down Payment: The minimum down payment for a Conventional loan is 3% as a first time home buyer. An FHA loan requires a minimum down payment of 3.5% of the purchase price. A VA loan does not require down payment. Credit Score: You don't need perfect credit to acquire a mortgage, believe it or not. You may be able to qualify with as little as a 580 credit score. Remember that a lower credit score usually indicates a higher mortgage rate. Monthly Expenses: We will take a look at your debt to see if you can afford to add your new mortgage payment to your monthly expenses. Your loan approval may be hampered by high monthly debt (such as credit card debt, student loans, and other installment loans). Low monthly debt, on the other hand, can help you maximize your purchase price. After all of your other debts are paid, we will take into account the money left over to determine how much of a monthly mortgage payment you can afford.

A pre-approval letter is a document that states how much we, as a lender, are willing to loan you for a new home. Having one might help you better understand how much house you can afford and provide you a strategic advantage when making an offer on a property. Being pre-approved puts you on top of the list of Realtors and Sellers, since it means you're being completely serious about buying.