Reasons Why Your Mortgage Application Keeps Getting Denied (VIDEO)

Everyone would like to get approved for a home loan when they first apply and there’s nothing wrong with that. But your question is: How do you get a mortgage application approved? How-to articles are excellent, but they don’t always tell you about potential missteps in the appliance process. Here are the top three reasons loan officers deny applications and the best way to avoid making them according to the Local Records Office.

Bad Credit

It shouldn’t be a surprise that mortgage lenders are trying to find a good credit history in a home loan applicant. As with any big purchase, your credit score will affect the approval and mortgage rates if you’re approved. Bad credit ensures banks deny risky financial transactions. Would you lend money to someone who has a known history of not returning borrowed money? If you did, you would want to take additional measures to justify taking the risk. So, if you’re interested in taking out a home loan, now or 20 years from now, start cleaning up your credit history. Make payments on time in addition to improve your credit.