Home Loans In Abilene, TX

Abilene is a city in Texas with a population of 123,182 at the 2020 census, making it the 27th-most populous city in Texas. The housing market in Abilene is somewhat competitive, scoring 63 out of 100. The average house price in 2021 was $220,000, up 17% compared to the prior year.

Purchasing a home is a significant accomplishment. The numerous benefits make it all worthwhile. Still, a reasonable mortgage does not come by chance. It would be best if you put in the work to deserve one. 

How To Boost Your Qualifications For A New Home Loan

These few simple tips will increase your chances of finding an affordable mortgage that meets your needs and ensure that you get the best deal possible when financing your home payments.

• Improve Your Credit Score

A higher credit score means you’re more likely to be approved for a better loan. Your FICO score, which measures your propensity to repay debt, is between 300 and 850. Anything less than 620 is a low score. The average FICO score is between 640 and 680, while anything more significant is deemed excellent. Aim for a score of 750-850 for the best results.

The most straightforward way of improving your credit score is to repay as many debts as possible. You can apply your tax refund toward your mortgage or refinance your credit card debt with a personal loan to improve your credit score. Also, don’t forget to request your credit report. This will help you identify and correct any errors in your credit history so that you can raise your score faster.

• Reduce Your Debt-to-Income Ratio 

One of the best methods of improving your attractiveness to lenders is to reduce your debt-to-income (DTI) ratio. You can calculate your DTI by dividing your monthly debt payments by your monthly income. For instance, if you earn $4,000 per month and pay $2,000 per month in debts, your DTI is 50%. 

Lenders generally prefer a DTI of 43% or less. You can reduce your DTI by repaying debts and increasing your total income when you can.

• Save As Much As Possible

Having enough funds to close on your home loan is a precondition to getting approved for a mortgage. Besides having enough funds to close, you should also show a health reserve. The more reserve you have, the higher the chance of getting approved.

Abilene, Texas Mortgage Lender

It can be challenging to improve your chances of securing a mortgage, but at Capital Home Mortgage, we have a team of experts who know the ins and outs of the mortgage process. We’ve helped a lot of people get into their ideal houses, and we’re eager to help you, too.

Why Choose Us

Capital Home Mortgage offers a wide range of mortgage products, including FHA, VA, USDA, conforming conventional, jumbo, and non-qualified mortgage loans.

As a direct mortgage lender, we have complete authority over the lending process. Our simplified workflow allows us to provide our clients with competitive rates, fair fees, as well as a stress-free home-buying experience. 

Please work with us and see for yourself why we’re one of the best in the industry! Thank you again for your interest in our services, and we look forward to providing your next Abilene mortgage loan. Call us at 325-387-8387; you’ll be glad you did!