One of the most important decisions you’ll have to make in life is getting a home loan. While it can be complicated, it can also be quite exciting!
Before you begin looking for financing, working with a Houston mortgage lender that you trust is essential. That’s why we’ve taken out some of the guesswork for you and are here to help make it easier for you to decide.
We’ll go over the different types of home loans, the documentation you’ll need, and most importantly, how to get the best terms and rates. Let’s get started!
Getting a Free Mortgage Quote
Want to get your foot in the door of your dream home?
Find out if you’re eligible for a mortgage loan with just a few simple steps.
Knowing if you qualify could be the first step in taking control of your financial future and owning the home of your dreams.
With over 20 years of experience in mortgage lending, our mortgage experts can help you make smart decisions regarding your home financing options.
Don’t wait any longer – discover what the right mortgage loan could do for you!
About the City of Houston, TX
Houston, TX is one of the largest cities in the United States and is the fourth largest city in Texas. The city is bordered on the north by Harris County, on the south by Galveston Bay, on the west by Brazoria County, and on the east by the Gulf Coast. In 2010, the population of Houston was 2,731,837, making it the fourth most populous city in the United States. In 2013, the population was estimated at 2,767,844.
Houston is a large international port city, and many of the country’s largest oil companies have offices in the city. The Port of Houston is the nation’s third largest port and the second largest in Texas. The Port of Houston is home to many large companies and businesses, including ExxonMobil, Shell Oil, Chevron, ConocoPhillips, BP, and Aramco.
Buying a Home in Houston, TX
If you looking for a home that offers modern comforts in a city atmosphere, Houston is a great option.
With vibrant culture, endless entertainment options and daily conveniences at your fingertips, Houston is the perfect place to call home.
Before you make a decision though, you probably want answers to the following questions:
- How much house can I afford in Houston based on my salary?
- How much down payment do need for a house in Houston TX?
- What credit score do you need for mortgage in Texas?
- How do you get approved for a mortgage in Texas?
- Can you borrow 3 times your salary for a mortgage?
- What is the best way to get the lowest mortgage rate in Houston, TX?
We can answer all those and more, especially making sure that you know what “affordability” means before you buy that house that seems like a great deal.
With its robust economy and strong job market, it’s easy to find a job that pays well and allows you to purchase a home of your own. Home prices are surprisingly affordable, so you can find something that fits your budget. Plus, with no state income tax to worry about and plenty of outdoor activities to enjoy, there’s lots of reasons to love living in Houston.
Move here today and start living life on your own terms.
What Are Mortgage Lenders in Houston, TX Looking For?
- Income And Job History
- Credit Score
- Debt-To-Income Ratio (DTI)
- Property Type
What Documents Do I Need To Get A Mortgage in Houston, TX?
A variety of documents are needed to verify your income, depending on what you do, how you are paid, and whether you recently changed jobs.
Salaried employees receive a single paycheck. In this case, pre-approval documents may look like:
- Pay slips from the past month
- W-2 forms from the past 24 months.
- Two most recent statements from the bank
- Personal tax returns from the past 2 years
- Most recent end-of-year pay stub if you include bonuses and overtime into income
Independent contractors, freelancers, and self-employed individuals do not receive pay stubs or W-2 forms from their employers. Instead, they need the following documents:
- Personal and business tax returns from the past 2 years
- A profit-and-loss statement
- A copy of state or business license, if applicable
- IRS Form 4506-T, which gives the lender access to your tax records
- Asset account statements
- Additional income information, like Social Security
How to Get a Mortgage in Houston, TX
When you have all of your documentation in order, it’s time to start searching for a home loan that makes sense.
Here’s what you can expect:
- Get a pre-approval for your mortgage
- Getting Your Letter of Approval
- Locate a property and submit an offer
- Verifying the details
- Closing the deal
Types of Mortgage Loans Available in Houston, TX
In order to finance the purchase of a new home, you should explore mortgage options before you begin shopping for the right property.
The truth is, not all home loans are the same, but we’re here to help you make better choices, so you can select the most appropriate option for your financial situation and keep more money in your wallet.
FHA loans are government-backed mortgages that have fewer financial requirements so you can buy a home. If you have debt or a lower credit score, you may be eligible for an FHA loan. Despite having a bankruptcy or other financial issue on your record, you might still be able to get an FHA loan.
Learn more about FHA loans in Houston, TX.
Veterans Affairs (VA) home loans are a type of mortgage guaranteed by the U.S. Department of Veterans Affairs (VA), and are only available to qualified borrowers. Developed to help veterans access credit and compete in the housing market, VA loans have fewer credit, down payment, and debt-to-income requirements than conventional loans. Additionally, they offer lower interest rates and lower closing costs than conventional loans.
They are an excellent option for veterans, but especially for first-time home buyers who may need extra assistance in today’s competitive housing market.
Learn more about VA loans in Houston, TX.
As part of the Rural Development Guaranteed Housing Loan program, USDA loans offer no down payment, reduced mortgage insurance, and rates below market.
Homebuyers who qualify for a USDA mortgage must have a low-to-average income and live in a rural area (as defined by the USDA). USDA loans can be used to purchase or refinance a home.
For qualified borrowers, USDA loans offer nearly unbeatable benefits. Contact us today to find out if you qualify.
Learn more about USDA loans in Houston, TX.
In a Jumbo loan, the amount is greater than the limits set by the government-sponsored entities that purchase most home loans in the U.S. and package them for investors. If you’re buying a mansion or just a regular home in a high-priced area like River Oaks or West University, you might need a jumbo loan.
Jumbo loans cover larger loan amounts than conventional loans. They can be used for primary residences, vacation homes, and even investment properties.
Learn more about Jumbo loans in Houston, TX.
30-Yr Fixed Mortgage
A 30-year fixed-rate mortgage is a home loan with a repayment term of 30 years and an interest rate that remains the same throughout the loan’s life. As long as you make the same payments every month, you will finish paying off the loan after 30 years.
Learn more about 30-Year Fixed Rate mortgages in Houston, TX.
15-Yr Fixed Mortgage
One of several types of fixed-rate mortgages that you can apply for is a 15-year mortgage, which is defined by its term length. You’ll have a set monthly mortgage payment with these loans, so you can establish a firm budget. The interest rate is fixed at closing, so it won’t change for the life of the loan. You can use these loans to buy a home or refinance a mortgage.
Learn more about 15-Year Fixed Rate mortgages in Houston, TX.
Adjustable Rate Mortgage
Home loans with adjustable interest rates, or ARMs, are home loans whose interest rates fluctuate over time. You can get the lowest mortgage rate starting out if you choose an ARM since they typically start out with a lower interest rate than a fixed-rate mortgage.
If ARM home loans sound like the right fit for you, contact us today so we can help.
Learn more about Adjustable Rate mortgages in Houston, TX.
Frequently Asked Questions
How do I contact your mortgage company in Houston, TX?
Easy! Simply call 888-670-7550 and one of our Houston home loan experts will help answer all your questions.
Where is your Houston, TX mortgage office located?
We service the area in the heart of Houston near Discovery Green and service all surrounding areas and counties.
How much money do you need to start a mortgage?
Even though 20% down payment may not be required, it still has its advantages if you can afford it. Today, you can get a mortgage for as little as 3% down. If you make a larger down payment, you may be able to get a lower interest rate and avoid private mortgage insurance (PMI).
How much should I have saved before applying for a mortgage?
When looking for financing, many mortgage companies will recommend that you put at least 20 percent down. This will allow you to avoid paying private mortgage insurance each month.
When should I consider refinancing?
Refinancing can be a good decision if it saves you money, builds equity, and helps you pay off your mortgage more quickly. If you can lower your interest rate by one-half to three-quarters of a percentage point and plan to stay in the house long enough to recoup the closing costs, it’s the best thing to do.