Atlanta Home Loans: A Great Home Buyer’s Guide to Mortgages in 2023

Atlanta home loans: Buying a home in Atlanta or the surrounding Georgia communities? You will likely be financing your purchase with a mortgage loan. Here is some of the most important information you’ll need to know about Atlanta home loans:

Atlanta home loans

Mortgage Lenders in Atlanta

Atlanta is a big city with a sprawling metro area. There are many local banks, mortgage lenders and mortgage brokers who can help you secure a home loan. There are also online services and national mortgage providers who can finance your home purchase. The key is to find one who best suits your specific needs. Above all else, you want an Atlanta mortgage lender you can trust. 

It’s a good idea to consult with multiple Atlanta mortgage companies. You can talk with your personal bank and see if they offer mortgage services. Having a longtime customer relationship and good financial standing can be beneficial when applying for a mortgage loan with your bank. However, they may also be limited in terms of the mortgage products they are able to offer. This is why it is so important to look around before making a commitment to any one mortgage lender.

You can ask friends and family for referrals, or see if your Realtor has a preferred Atlanta mortgage company they recommend. You can also do your own research online and look for top-rated lenders. Be sure to consult with at least one mortgage broker, as well. A mortgage broker has access to a wider variety of mortgage products through multiple lending sources. They may be able to find you a better home loan solution than a direct lender. 

Ultimately, you want to find a mortgage lender who can help you find the best Atlanta home loans options and lowest possible mortgage rate.

Atlanta Mortgage Rates

Speaking of the mortgage rate, that should be one of the top priorities for any home buyer. Ideally, you can qualify for a lower mortgage rate. Most Atlanta home loans are 30-year fixed rate mortgages, which means you pay a set interest rate over the life of your loan. Some Atlanta lenders may offer adjustable-rate mortgages (ARMs), which can have some advantages (lower starting rate) and disadvantages (fluctuating rates year after year). As an Atlanta home buyer, it is important to understand the key differences between these two primary types of Atlanta home loans. 

To qualify for the lowest possible mortgage rate, you will need to have a strong financial background. Mortgage lenders will look at several key items when approving you for a home loan and determining your qualified mortgage interest rate.

First, they will run a credit check to determine your current credit score (FICO Score). Your credit rating will play an important role in qualifying for a mortgage and getting a lower rate. Obviously, a higher score will work in your favor. Second, they will look at your current income and employment history. You may need to provide tax returns, W2s and pay stubs. The purpose here is to show that you make enough money to make your monthly mortgage payments on time.

Next, they will calculate your debt-to-income (DTI) ratio. The lender will look at your average monthly debt and certain bill payments compared against your average monthly pre-tax income. A lower DTI can help you qualify for a lower mortgage rate. A high DTI is a concern and could prevent you from being approved for a lot of Atlanta home loans.

There are several other financial factors your mortgage lender will review, but the last one worth noting is your cash down payment. A higher down payment will be another way to lower your mortgage interest rate. It can help offset a high FICO score or high DTI. It can also reduce the principal amount of your loan, along with your monthly mortgage payments. In addition, a higher down payment can help avoid the necessity for mortgage insurance, which is generally required for any borrower who pays less than 20% down. If you are selling another house and moving up as a buyer, any home equity you can apply to your new purchase will be very valuable.

Atlanta Home Loans Pre-Approval

If you are thinking about buying a home in Atlanta, you should definitely get pre-approved for your mortgage loan. This should be your first step as a home buyer. Having a pre-approval from a reputable mortgage lender will help you in a number of ways. You will know how much home you can actually afford before you start searching for properties. You will be able to display solid financing when making offers, which today’s sellers really like to see—especially if it’s a first-time home buyer. 

Leading Atlanta Mortgage Broker

For all your Atlanta mortgage needs, you can count on Moreira Team | MortgageRight. We are a leading Atlanta-based mortgage broker, and we’re here to help you with your home purchase or mortgage refinance. Contact us today to schedule a no-obligation meeting with one of our mortgage representatives.

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