Co-signor | NC FHA Expert

How Old Guys Qualify for FHA Loans in NC

In North Carolina we have some different laws than other States when it comes to Financing a home. The NC Laws require that we validate that you have the income (at the time of closing) to be able to make the payments on your mortgage.

For someone who is retired, or is living off of Savings – this can be tricky!

The good news is that we can “Gross Up” Social Security Income by 115%. So if you collect $900 in Social Security income, we can count $1035 for qualifying.

If you have a large savings account, and you are having an accountant, or Financial Planner manage the money – and you have it set up to give you regular installments – we can count that income too! We just have to document a history of you receiving it… and there has to be enough money there to pay you for the next 5 years. So if you have $150,000 that you are pulling $600 a month from – that would last you for WAY longer than 60 months! As long as we can show that it’s automatically coming to you – we can count it.

Other people who are interested in FHA financing sometimes co-sign with a child. Co-signing is one of the most popular ways we see benefit for grandchildren and children these days. For more information on co-signing for an FHA mortgage loan, click here.

If you are considering FHA financing for a home in NC – please call Steve and Eleanor Thorne, River Community Bank, NA, 919-649-5058. We offer the best rates and have decades of experience!

Qualify for VA Mortgage Loan

There’s the WHITE HOUSE, and then there’s that white house, with the picket fence and the dog out back, and a couple of shade trees where you can string up a hammock.

If you’ve been in the Armed Services, and you’re looking for that special house – you have a TON of things working to your advantage!

You are eligable for a 100% loan with NO monthly PMI! The mortgage insurance companies have taken a beating with all of the foreclosures – and monthly PMI is running ridiculously high right now! (over $200 a month!)
Did I mention it’s a 100% loan??? We are in a RARE appreciating market here in the Triangle – and if you are planning on staying in your home for 3 or 4 years, you could be in a GREAT position to build some equity!
Interest Rates are STILL at their LOWEST point! Which makes homeownership more affordable than ever!
There are a TON of homes for sale- meaning you will probably get a very good “deal” on a home!!

Okay – to qualify for this mortgage loan here’s what you need!

You need decent credit. VA minimum credit score is unpublished. This means that you are either “accepted” through the computerized underwriting system – or you’re not. Most of the approvals we are getting make us believe that you need a score of AT LEAST 580 on each of the three bureaus. At the very lesat, the VA wants you to have 12 months of “clean credit.” If you don’t have that, or you have questions about how to increase your credit scores yourself – click here. (you do not need to pay someone!)

You need a job (or a source of income lasting at least 4 more years). Not just a job – but one we can verify the income on. If you are a fireman, and a painter – and you make decent income working as a painter, but don’t report all of that income to Uncle Sam – I can’t use all of that income to qualify you. It’s as simple as that.

If you are going to purchase a home with another person who is NOT a Veteran, you must be MARRIED. For more information on Co-Signors for VA mortgage loans, click here.

Your total debt is calculated a little differently for a VA mortgage loan. To calculate the MOST you can qualify for… add up the Principal, Interest Taxes and Insurance. ADD to that the “average” monthly Utility cost, any revolving debt you have with more than 3 months left to pay, any installment debt with more than 3 or 4 months left, and any child care expenses. That TOTAL NUMBER should not be more than 41% of you GROSS (before taxes) income on a monthly basis.

Example: PITI is $1020. Heating Bill will average $120. Credit Cards are paid in full each month, so zero. Car payment is $375, no children. Total monthly bills $1515.00. Your monthly BEFORE TAX income is $4000. You take $1515, divide that by $4000 and it’s 37.9. This number is well below the target number of 41, so you’re GOLDEN!

If you are a Veteran considering a home purchase in North Carolina – please call us! Steve and Eleanor Thorne, Corporate Investors Mortgage Group, Inc 919-649-5058