If you put less than 20% down on a home and you use conventional financing, you’ll pay Private Mortgage Insurance. This insurance covers the lender should you default on the loan. It’s a compensating factor for the lender, giving them reassurance that they won’t face a huge loss should you stop making your mortgage payments. […]
If you are trying to get approved for a VA loan, but have a high DTI, you may find it difficult. Even though the VA doesn’t put a lot of emphasis on debt ratios, they do play a role. Ultimately, if your debt ratio is too high, you won’t have enough disposable income to qualify […]
Compensating factors when getting a VA loan or VA refinance are important. They can make the difference between getting approved or denied, so work with experts.