As a mortgage broker, I should know.
It wasn’t until recently that I asked myself (I asked my
wife, actually), “I wonder if I’m getting fewer phone calls because people
think the banks aren’t lending money?”
Contrary to what the news might seem to be telling you,
banks are most definitely lending mortgage money. Unlike the past, you simply have to be creditworthy.
For that matter, the
mortgage industry is eager for a loan application from any mortgage applicant
with good credit, verifiable income, and good savings (a 20% down payment
deposit will go a long way). Those buyers/ borrowers will be approved for a
mortgage the same as they would have before the terms “mortgage meltdown” and
“financial crisis” were ever uttered.
Mortgage lending has
never been an exact science, and lending guidelines have tightened, but don’t
think for one minute that banks aren’t looking for qualified mortgage
applicants. For anyone in the market to buy an apartment, I’d say the same
thing as I would say over the years: Make one phone call and find out the
In most cases, I can
tell someone over the phone, with good certainty, whether or not they will be
approved for a mortgage.
With a total down
payment of 20% or more, sufficient income to qualify for the loan, and good
credit, the lenders are happy to lend.
In more ways than
not, it’s the same as it ever was…..