Home   Glossary   Contact Us  
  Welcome to the
  GayMortgageLoans.com is a Free Directory of Gay, Lesbian & Gay Friendly Mortgage Lenders and Mortgage Brokers, serving the LGBT Community.
News Back

Once all the required documentation has been gathered, your application is submitted to underwriting. Underwriting is the process of reviewing all of the information and making a decision as to whether a borrower qualifies for a loan. Underwriters evaluate your ability to repay the loan (income), your willingness to repay the loan (credit) and the value of the property that you've identified (collateral).

  • Loan application. The information provided on your application helps the lender answer basic questions such as:

    • What is the source of your income, and is the source stable?

    • Is your income adequate to cover the expense of the new mortgage payment?

    • How much long-term debt (debt that will not be paid within the next 10 months) do you have?

  • Credit history. Your credit history helps lenders evaluate your ability to manage debt. It reflects how repayment of your bills has been handled in the past. In some cases where borrowers don't have an extensive credit history, some lenders will consider alternative payment records, such as rental payments and utility bills.

  • Property appraisal. An appraisal provides an estimate of the market value of the home that you wish to buy and is based on similar homes sold in the neighborhood. Lenders usually grant up to a certain percentage of the property's value in a mortgage loan. This percentage is called the loan-to-value (LTV) ratio. The rest of the property value is covered by your down payment.

  • Hazard insurance. Hazard insurance (sometimes referred to as a homeowner's policy) protects you and the lender from loss in the event the home is damaged or destroyed by fire, storm or other hazards. You're responsible for obtaining hazard insurance prior to closing and for providing proof of insurance to your lender. The lender may also require additional insurance against loss by flood or earthquake.


Find Lenders
Enter City Name:
  Useful Links
Mortgage Calculators
Loan Programs
Mortgage Glossary
Mortgage Tips
All About Mortgages
  Recent News
Meet the $8K Home Buyer Deadline with Help from LGBT Pros
Tips for Buyers: How to Tour a Home like a Professional
Plain Talk about Fancy Mortgages: Stick with the old-fashioned 30-year fixed.
How Financial Overhaul Changes the Mortgage Market
The Gay Ghetto Top 10 for 2008
Add Your Listing - Frequently Asked Quesions
Real Estate Green Living Tips: Save money with a sustainable home
Types of Loan Programs
Closing The Deal
July, 2010
February, 2010
January, 2010
December, 2009
August, 2009
June, 2009
May, 2009
April, 2009
March, 2009
February, 2009
January, 2009
December, 2008
November, 2008
October, 2008
September, 2008
All News