Secret Mortgage Tips That’ll Help You Get Preapproved for More

BiggerPockets MoneyMay 23, 20221h 5m6.7K viewsScore 75
Getting Started
intermediate
mortgage pre-approval
credit score improvement
self-employed income
lender overlays
loan types
M

Summary

AI-generated

This video explains how to improve your attractiveness to mortgage lenders by understanding credit scores, income verification for self-employed individuals, and the nuances of different loan types. It provides actionable advice on navigating lender overlays, utilizing credit simulators, and avoiding common pitfalls like mortgage fraud.

Key insights

  • For self-employed individuals with significant deductions, lenders may recalculate income by adding back a portion of certain deductions (like depreciation or meals/expenses) to determine qualifying income.

Mistakes to avoid

  • Relying solely on credit score estimates from apps like Credit Karma can be misleading, as they are not official scores and can be off by up to 80 points. Always use the score provided by your mortgage lender.

Tools & resources

  • ICBA Community Bank Locatortool

    The ICBA Community Bank Locator app can help find local community banks, which may offer more flexible portfolio loan options compared to large national lenders.

Frequently Asked Questions

Curated by Learn STR by GoStudioM · Summary & key insights generated by AI · Reviewed by editorial