Hello All, I have to buy a high value car and a house in next year. I was planning to finance the car on my name ( his) and then later mortgage of the house on both of our name( his & her).
How the eligibility will be calculated in this case? Is it better idea to have car and house on both of our names or it will not make any major issue/ benefit? Obviously I have to keep in my credit which is 800+ right now but later after car purachse can come 20-30 points. Please advise.
Auto loan and mortgage question
Re: Auto loan and mortgage question
If you are planning to buy a house, don’t buy a car yet. Simple as that. You don’t want to mess that up because the eligibility is more touchy and the interest is literally hundreds of thousands of dollars. It’s relatively easy to get a car after the house, though.
Talk to a mortgage broker And they will tell you the same. No new debt while trying to get a house!
Put both of you on the house for sure to prevent issues in case of death. Car doesn’t matter as much. Whoever can get the better rate.
Talk to a mortgage broker And they will tell you the same. No new debt while trying to get a house!
Put both of you on the house for sure to prevent issues in case of death. Car doesn’t matter as much. Whoever can get the better rate.
Re: Auto loan and mortgage question
depends what you mean with 'later'
absolutely avoid to add/change any debt in the time period between mortgage application and approval and closure of the house - do not even move large amounts of money around between your accounts in that time period, underwriters will flag it and casue you trouble/delay/explanations/possible decline of the application
If you get the car in January and finance it and get the house/mortgage 6 months later after regular car payments - no problem, it will show on the credit pull as a new line of credit and it does ding you a bit in credit score that way, but its not a big deal depending on what bank/credit union you work with.
If there is any problematic background that needs explaining, credit unions are great since many are still underwriting themselves and you can actually talk and explain.
absolutely avoid to add/change any debt in the time period between mortgage application and approval and closure of the house - do not even move large amounts of money around between your accounts in that time period, underwriters will flag it and casue you trouble/delay/explanations/possible decline of the application
If you get the car in January and finance it and get the house/mortgage 6 months later after regular car payments - no problem, it will show on the credit pull as a new line of credit and it does ding you a bit in credit score that way, but its not a big deal depending on what bank/credit union you work with.
If there is any problematic background that needs explaining, credit unions are great since many are still underwriting themselves and you can actually talk and explain.
Everything you read in this post is my personal opinion. If you disagree with this disclaimer, please un-read the text immediately and destroy any copy or remembrance of it.