Common Questions

Income Related

How do you calculate my Income?
If you are paid a salary and it is the exact same every pay period, then we use your current salary to determine your qualifications.

How do you calculate part time income?
Generally speaking, you will need a two year history of receiving part time income. It should be about the same over the two year period or trending slightly more in the most recent year. We then average over a two year time period to determine the monthly income that can be used toward your qualifications.

How do you calculate Bonus and Commissions?
Generally speaking, you will need a two year history of receiving bonus and commission. It should be about the same over the two year time period or trending slightly more in the most recent year. We then average over a two year time to determine the monthly income that can be used toward your qualifications.

What other income can be used to qualify for?
You may choose to have Social Security, other retirement income, Alimony, Child support and Public assistance considered when determining your qualifications. Generally speaking, all income used for calculating for a Mortgage loan should be expected to continue for at least two years and in some cases three years.

What is a Debt to Income Ratio?
“Debt to Income Ratio” is the calculation used to determine how much of a monthly payment you will qualify for. We take the sum of all your monthly debts plus your new Mortgage Payment and divide that by your monthly income. That number should be less than 43%. Monthly debts include debts that show on your credit report, such as credit card payments, car payments, student loans, etc. Things like car insurance, utility, and cell phone bills are not counted. Please click the following link to calculate your Debt to Income Ratios”.
www.trustarmortgage.com/mortgage-calculators/

Asset Related

How much cash do I need?
The amount of cash needed is based on a variety of factors such as the percentage of down payment indicated as needed by the type of mortgage product chosen, the purchase price of the property, closing costs, etc. If you are a member or former member of the armed services (A Veteran) and have enough service time accrued, you may qualify for a mortgage loan with no money down. For non-Veterans, we can offer loans with a down payment as low as 3%.

Many first-time home buyers, and even second-time buyers, ask the seller to pay some or all of their closing costs. Typically, home buyers will pay between 2% and 5% of the purchase price of their new home in closing costs. So, if your home costs $150,000, you might pay between $3,000 and $7,500 in closing costs.

Can I get a gift?
Yes, you may get a gift from an immediate family member as long as it is a true gift and no repayments are expected from the relative. Your relative will need to sign the standard gift letter stating that the money is a gift, will be used for the purchase of a home, and that no repayment is expected. The person giving the gift will also be required to provide proof that they have the funds available to give you the gift and then provide proof that the funds have been transferred to you from that exact source stated in the gift letter Please click here for a copy of the approved gift letter. GIFT LETTER.

Can I borrower money for the down payment and Closing Costs?
You can only borrow money for the purchase of a house if the money being borrowed is secured by a legitimate asset such as a home, car, or retirement account. You may not borrow money for the down payment or closing costs from a non-secured source such as a credit card or other line of credit.

Property Related

On what types of properties do you provide mortgages?
We do mortgage loans on Single Family, Townhouses, and Condos. We do NOT Lend on Mobile Homes or Trailers.

General

What documents do I need to provide you in order to be approved for a loan?
Click here for a list of Documents need to approve your loan. MORTGAGE DOCUMENTS.

Can I get a Mortgage Loan if I have had previously had a Foreclosure?
Yes. In most cases, you can be approved for a new mortgage loan between 24-36 months from the time your Foreclosure was discharged.

Can I get Mortgage Loan if I have previously declared Bankruptcy?
Yes. In most cases, you can be approved for a new mortgage loan between 12-24 months from the time your bankruptcy was discharged.

Have More Questions?

We encourage you to speak with a licensed Mortgage Loan Originator to determine what you qualify for and what is the best loan type for your particular situation. Please feel free to call us at (703) 345-1330 or send an email to info@trustarmortgage.com. We are happy to answer any questions you have.