Home Loans In Aurora, Colorado 

The city of Aurora is less than an hour away from the famous Rocky Mountains of Colorado, earning it the nickname Gateway to the Rockies!

Aurora’s housing market has remained competitive despite the fluctuations that hit the global real estate scene during the pandemic. One reason for this resilience is that Aurora has a wide selection of offerings, including hiking, skiing, and snowboarding. It makes the city a tourism hub, which has helped its economy. 

If you’re thinking of owning a home in Aurora, you’ll need to start getting your mortgage application ready. Knowing what documents you need to prepare alongside your application can help fast-track the process and bring you one step closer to securing the home financing you need. 

Factors That Determine Your Approval For A Home Loan 

Several factors will determine if your application for a home loan in Aurora will be approved or denied. To name a few, these are:

• Credit Report

Your credit report tells the story of how well you use credit. It will also show the negative aspects of your credit history, like late repayments, bankruptcies, foreclosures, evictions, repossessions, and current debt loads. 

Your credit activities are calculated and then summarized in a credit score, ranging from 300 to 850. Before talking to a mortgage lender, the rule of thumb is to get your credit score as high as possible (think 680 and above). 

• Income

Lenders would want to see your earning history and current income. They’ll usually ask for pay stubs from the past three payroll cycles. If you’re a W2 employee, you’ll have to provide your last 30-day paycheck stubs and your previous 2-years W2s. 

If you’re a business owner, you will need to provide deposit slips, 1099 forms, contracts, invoices, or any other proof of income requested by the lender, such as your personal and business tax returns and a year-to-date profit and loss statement, etc.

A tax return gives more credibility to your application. Not only does it affirm that you are indeed a tax-paying borrower, but lenders can also use it to confirm that you have reported the right income.

• Assets

Every borrower must show where their source of funds is coming from. They have to show enough assets in their checking, savings, and retirement account. Besides the source of funds, they also have to show reserves. Reserve is what is left in their liquid asset after exhausting their funds to buy a house.

• Rental History

If this is your first time buying a home, you’re probably renting a flat or an apartment. Your lender might require a letter from your landlord attesting to your consistency in making timely rental payments or a schedule of rental payment history of your account.

Aurora, Colorado Mortgage Lender

Capital Home Mortgage offers conventional loans, FHA loans, VA loans, USDA loans, and several other mortgage products in Denver. We are a direct mortgage lender, so we can offer these home loan programs at competitive interest rates and comparatively lower fees. 

Our mortgage experts will work with you to identify the right loan option for your situation. We’ll also walk you through the pre-approval process, so there’s no confusion once it begins. 

At Capital Home Mortgage, we aim to simplify the home loan process. Whether it’s your first or fifth, buying a home should be an exciting and enjoyable experience, after all. 

Get Your Home Loan in Aurora 

Aall (303) 226-1177 to speak with our Aurora loan officers about your home loan needs. We’re happy to get you started with a no-obligation quote and look forward to providing your next mortgage loan in Aurora.