Capital Home Mortgage Anchorage
Mortgage Lender Anchorage Alaska
Home Loans In Anchorage Alaska
Welcome to Capital Home Mortgage Anchorage. Known as “The City of Lights and Flowers,” Anchorage is Alaska’s most populous city and home to nearly 40% of the state’s population.
With its natural beauty and ability to attract explorers and mountaineers worldwide, Anchorage continues to see more people coming to the city, some for good. Life in Downtown Anchorage is vibrant and lively. The housing market is also quite active, especially during summer.
If you’re planning on buying a home in Anchorage, Alaska, you might need to obtain a home loan. Unless, of course, you have a more convenient way to pay for the property. Capital Home Mortgage can help.
One of the most critical considerations in the loan process is the debt-to-income (DTI) ratio. Let’s talk about what this is all about and why lenders are so particular about it.
Understanding DTI Ratio For Loan Applications In Anchorage
Your DTI is the percentage of monthly gross income that goes to your monthly debt payments. Lenders use the DTI to determine if you have enough income to cover all your debt and assess the risk of extending financing.
Computing the DTI
The DTI ratio is a risk metric lending companies use to assess whether they approve or reject your loan. Moreover, it will play a part in determining the interest rate of your mortgage loan. There are two (2) DTI ratios to consider: (a) front-end and (b) back-end ratio. The front-end ratio is the relationship of your income to the proposed housing expense. The back-end ratio is the relationship of your income relative to all your debts, PLUS the proposed housing expense.
Determine the total monthly mortgage payment for your front-end ratio, including the principal, interest, taxes, and insurance (PITI). If you buy a $200k house and the total PITI is $1,8000, and your income is $5,000 a month, divide the proposed housing expense of $1,800 by your gross income of $5,000.
Here’s your formula for the front-end ratio: Proposed PITI ÷ Gross Monthly Income. In our scenario, $1,000 ÷ $5,000 = 36%
Here’s how you can compute your back-end DTI: DTI = Monthly Debt Payments + Proposed PITI ÷ Monthly Gross Income
Your monthly debt payments include credit card debt, existing loans, mortgages, and other financial obligations. In computing your monthly gross income, add all your pre-tax and pre-insurance income (e.g., compensation, business income, passive income, etc.).
For example, let’s say your monthly debt payments amount to $500, and your proposed monthly PITI is $1,800; both total $2,300 if you earn $5,000 a month gross income. $500 + $1,800 = $2,300 ÷ $5,000 = 46%
According to the Bureau of Consumer Financial Protection, a healthy DTI, in general, is within 36% and 43%.
This means borrowers should maintain a 36% DTI and stay below 43% to qualify for a mortgage. However, maximum DTI depends upon the loan program you wish to be eligible for, and it varies from lender to lender. Conventional loans may go up to 45%, whereas FHA loans may go all the way to 57% with compensating factors.
To increase your chances of getting a mortgage with favorable terms, you’ll need to keep your DTI as low as possible.
Anchorage, Alaska Mortgage Lender
The DTI ratio is just one of the many financial metrics lenders use to assess your creditworthiness. Overall, the loan process can be a bumpy road, especially if this is your first time obtaining a loan of this magnitude.
Working with an experienced Anchorage mortgage lender like Capital Home Mortgage can ensure a smoother process, from pre-qualification to funding.
Our Alaska mortgage experts will walk you carefully through the eligibility requirements and expected application timelines.
As a direct mortgage lender, we offer competitive interest rates, low fees, and exceptional customer service all the way. Additionally, Capital Home Mortgage oversees the entire loan process, making our underwriting and processing time faster and more straightforward.
Get A Home Loan In Anchorage
Let’s help you get on your way to being a proud homeowner in Anchorage, Alaska. Talk to our loan officers at Capital Home Mortgage about your home loan needs today. Whether you’re a first-time borrower or a seasoned investor, we can match you with the right mortgage product for your needs.
Contact us at (907) 531-5048 to get started.
Why Anchorage HomeBuyers are Choosing Capital Home Mortgage
Close On Time
Complete Control from Application to Funding
Low Rates & Low Fees
Direct Lender with Competitive Rates and Low Fees
7 Day a Week Support Application to Final Mortgage Payment
Anchorage Alaska Mortgage Rates
Have you ever wondered why interests rates are what they are and what determines the final rate? Why borrowers receive different interest rates? Or why rates go up and down? Interest Rates are calculated using several factors.
- Demand for the mortgage Securities
- Property securing the mortgage
- occupancy of the property
- Loan to value of the property
- Borrower’s credit worthiness
Anchorage Mortgage Programs
Anchorage Home Purchase
Thinking of Buying an Anchorage Home?
Looking to Purchase a Home? We have the loan program for you… Call today to speak with a loan officer to discuss your personal mortgage options.
- Primary, Secondary, Investment
- FHA, VA, USDA, Native American
- Conventional, Jumbo, Non QM
- Reverse, Renovation, Manufactured
Anchorage renovation home loans
Looking to Rehab an Anchorage Home?
Want the Charm of an Older Neighborhood? But want a new place or a fresh look? Why not look at a renovation loan? Purchase the Perfect Home and make it your own. Call today.
- Remodel, Renovate or Repairs
- FHA 203K Streamline or full
- fannie mae homestyle reno
- freddie mac home choice reno
Anchorage FHA Home Loans
Great for 1st Time Anchorage Homebuyers
FHA Home Loans are great for first time home buyers, buyers with less than perfect credit, or buyers needing less out of pocket. Call today to get started.
- Smaller Down Payment
- Flexible Underwriting
- Higher Debt to Income Ratios
- Lower Credit Scores OK
Anchorage VA Home Loans
100% Financing for Anchorage Veterans
Proudly Serving Active Duty servicemen and women, as well as, retired and disabled veterans. Call today to speak with a VA loan officer.
- Simply Qualifying for Veterans
- No Down Payments Requirements
- Lower Credit Scores Accepted
- Manual Underwriting Allowed
Anchorage Conventional Home Loans
Flexibility for Anchorage Homebuyers
Conventional Home Loans are the best option for flexibility of property types and for mortgage loan terms. Call today to get speak to a Loan Officer.
- Primary, 2nd Home, Investment
- Great Rates & Low Fees
- Single Family and Multi-Family
- Renovation Loan Programs
Anchorage Jumbo Home Loans
Anchorage Non Conforming Loans
Jumbo Home Loans also called Non Conforming Home Loans are great options for buyers needing financing outside of agency limits. Call today to speak to a loan officer.
- Primary Residence and 2nd Homes
- Higher Loan Amounts – 3 Million
- Great Interest Rates
- Investor Specific Guidelines
Anchorage USDA Home Loans
100% Rural Anchorage Home Loans
USDA Loans are a great option for families wanting to live outside of the city. Call today to speak with a loan officer to discuss your personal loan options.
- Rural Properties Only
- Primary Residence Only
- Geographic Restrictions
- Income REstrictions
Anchorage Native American Home Loans
Anchorage HUD 184 Home Loans
HUD 184 Home Loans are solely for Native American and offer a variety of benefits. Call today to speak with a loan officer to find out more.
- Primary Residence Only
- Manual Underwriting for All Loans
- No Credit Score Requirements
- Tribal Grants Allowed
Anchorage Manufactured Home Loans
Great Alternative Anchorage Housing
Manufactured Home Loans offer options to purchase an existing residence or build your dream home on your own land. Call today to speak to a Loan Officer.
- Existing Purchase or Refinance
- OTC Land/ Home Combo
- Lock Rate Before Completion
- FHA, VA, USDA, & Native Loans
Anchorage reverse mortgages
Your Anchorage Home at Work
Reverse Mortgage Loans offer seniors options to use their home’s equity for cash or to eliminate payments. Call today to get speak to a Reverse Loan Officer.
- primary residence only
- simple qualifying – equity based
- credit scores not applicable
- Minimum age 62
Anchorage Non QM Home Loans
Making Anchorage Mortgages Possible
Looking for Non Traditional Home Mortgage Loan? Contact a Loan Officer Today to discuss the alternative mortgage options currently available.
- Purchase, Rate and Term & Cash-out
- Primary, Secondary and Investment
- Full Doc & Bank Statements Programs
- Corporations OK
Anchorage One Time Close mortgages
Build Your Anchorage Dream Home
Want to Build? But unsure of what the future looks like? Remove the risk with a One Time Close Construction Loan. Call today to see how a OTC loan works.
- Primary Residence Only
- Close Once
- Lock Rate at Contract
- Traditional Final Mortgage
Anchorage Refinance Mortgage Loans
Anchorage Rate & Term Refinance
Refinancing can be a hard decision and the payback can sometimes be confusing. Call today and let our Loan Officers walk you through the process.
- Reduce Mortgage Term
- Lower Monthly Payments
- Appraisal Waivers
- Streamline Options Available
Anchorage Cash-out Home mortgages
Anchorage Equity Mortgage Loans
Cash-Out Mortgage Loans make use of the equity in your home by allowing you to refinance the current mortgage and access this equity to use as you see fit.
- Debt Consolidation
- Investment Opportunities
- Home Improvement
- Vacation or Education