Mortgages

Foreign national/non-US resident mortgage loans

Non-US Residents must put down a minimum of 20% (* US Residents may qualify for a lower deposit)

20% Down Payment

To qualify for a mortgage you will need to produce:

1. Copy of borrower(s) and co-borrower(s) passport and visa, SS# or D.L. for US Residents
2. Employment history, please provide one of the following items:
• Letter from employer stating 2 year gross year to-date. Examples provided upon request
• 2 most recent pay slips and two years Tax Returns or P-60's
• If self employed. Letter from accountant showing 2 year gross year to-date income
• Pension statement (if applicable).
3. Copies of 3 most current months of bank statements for accounts that funds will be coming from
4. U.S. account with all funds for closing, including a reserve for six months of monthly payments: Mortgage payment, interest, tax and insurance
5. Copy of stock certificates (if applicable)
6. One (1) Bank reference letter
7. One (1) Credit reference letter, this must come from a place, which you have established credit with (ex: credit card company)
8. Current Annual Mortgage Statement for home in country of origin

25% Down Payment

Ignore item (2) above, but all others required. Copy of visa or passport is requires on all foreign national borrowers (legible, current and signed).

30% (and up) Down Payment

Ignore all but item (1) above and must open US bank account and provide evidence that you have a "positive" balance.

All information provided above is subject to change without notice

Frequently Asked Questions

What is a closing?

"Closing" is the date when the buyer, seller, and lender, or their agents, agree to meet and legally transfer the property and disperse all the funds, or reference the property.

What are closing costs?

"Closing costs" are the costs associated with the transfer of property. They may be costs such as discount points, appraisal fees, title search fees, insurance charges, survey charges, mortgage brokers fees, and state filing fees. Typical costs amount to approximately 2% and 3% of the mortgage amount.

What happens at closing?

The seller, buyer, and lender, or their agents, meet and legally transfer the property, and associated funds, between parties.

How often do I have to make mortgage payments?

Depending on the lender you choose, payments will be monthly, bi-weekly, or weekly.

What is foreclosure?

"Foreclosure" is a legal action undertaken by a lender to sell a mortgaged property, in order to pay a defaulted borrower's debt.

Can I get out of my mortgage if I choose?

Most mortgages allow you to pay off the mortgage early. Some mortgages do have a prepayment penalty, but most do not. Ask your mortgage broker about the program you've applied for.

What is "Fannie Mae", "Freddie Mac", and "Ginnie Mae"?

Fannie Mae is the term for the Federal National Mortgage Association. This is an institution incorporated by congress to buy and sell conventional, FHA insured and VA guaranteed mortgages.

Freddie Mac is the term for the Federal Home Loan Mortgage Corporation, an agency that purchases mortgages from insured savings institutions and HUD approved mortgage bankers.

Ginnie Mae is the term for the Government National Mortgage Association. They supply residential mortgages that are insured through the FHA or are guaranteed by the VA.

What is the difference between fixed mortgages and an adjustable rate mortgage?

Fixed rate mortgages offer an interest rate that remains fixed for the entire term of the loan. An adjustable rate mortgage (ARM) is a loan in which the interest rate changes to reflect the current interest rates. Adjustable rate mortgages may change rates according to the rate set at your closing. Ask your mortgage broker for the options right for you.

What does A.P.R. stand for?

This stands for Annual Percentage Rate. This amount also reflects the annual cost of the mortgage, taking into account the points paid and other costs incurred for the credit extended to the borrower. The A.P.R. is helpful in comparing the costs of different loan packages.

What happens if I am late or miss a mortgage payment?

Typically, a late payment fee will be assessed, and must be paid. Of course, interest will continue to accumulate. If the borrower stops making payments, this will result in a defaulted mortgage, and foreclosure of the property.

Why use a mortgage broker?

When utilizing the services of a professional mortgage broker, you have a representative who has your best interests in mind. Brokers are not tied to selling you a specific lender's loan program. A mortgage broker acts as your representative in opening the doors to a multitude of lenders. By assessing various lender's programs, interest rates, loan fees, underwriting guidelines and credit requirements, the mortgage broker will recommend which lender and specific loan program best suits your needs.

How much money can I qualify for?

Typical mortgage requirements say that if you have an average debt load, you can obtain a mortgage between two and three times your annual income.

What if I have credit problems?

You will need to explain the circumstances of the credit problem. If you no longer have the problem and have kept current with your obligations for a period of one year or more, most lenders will accept your mortgage application.

What is private mortgage insurance?

Private mortgage insurance may allow you to purchase a home for as little as 5% down payment, even if you do not qualify for a FHA-insured or VA-guaranteed loan. Such coverage requires a monthly insurance fee to be paid.

What is the difference between a conventional loan and a FHA loan?

A conventional loan requires you to place a down payment of between 5% and 20% of the selling price of the home. FHA (Federal Housing Administration) loans are guaranteed by the Housing and Urban Development (HUD) and you can buy a home with as little as 2.5% down payment.

What is a convertible mortgage?

When you have a convertible mortgage, it allows you to change from the initial ARM mortgage to a fixed rate mortgage. This option usually requires an extra fee.

What is amortization?

Amortization is the division of principal and total interest charges into equal payments that will result in the complete payment of the debt by the end of a fixed period of time.

What is a cap?

A cap is a limit that is placed on an ARM mortgage. It may limit the maximum loan rate amount, or the maximum amount the loan rate may increase per term, for example, a one year ARM changes once a year.

What does it mean to lock-in?

When you "lock-in", your lender will guarantee the interest rate on your mortgage for a limited period, regardless of the current market rates. This option usually is done for a fee. If you are concerned that rates may rise before your closing date you may want to "lock-in".

What is P.I.T.I.?

This stands for the components of your regular home payment, "Principal, Interest, Taxes, and Insurance".

What is an appraisal?

This is an estimate of the value of the property you intend to buy or refinance.