how much do you need to make to qualify for a $400,000 mortgage?

how much do you need to make to qualify for a $400,000 mortgage?

I've run through all the online mortgage calculators and they indicate that we don't make enough BUT our friend who is a mortgage broker said that even if you only make 100K, banks will let you have a 400K mortgage....anyone with personal experience know if there is any truth to this?

Re: how much do you need to make to qualify for a $400,000 mortgage?

Yeah that is true. I got pre qual'd for $430,000 on just my salary b/c FH works off the books. What they did was a no income loan and since I have been working for the same company for 12yrs and have amazing credit we were able to qualify for that.

Re: how much do you need to make to qualify for a $400,000 mortgage?

with the no income loan...do you pay a higher interest rate?

Re: how much do you need to make to qualify for a $400,000 mortgage?

Re: how much do you need to make to qualify for a $400,000 mortgage?

Depends on how much debt you have & what your monthly bills are.

Re: how much do you need to make to qualify for a $400,000 mortgage?

The question isn't how much you have to make, the question is, can you pay for it once you get it? Meaning- I'm sure a bank will give you a mortgage, but will you be able to make the monthly payments.

Re: how much do you need to make to qualify for a $400,000 mortgage?

Well I guess I can make the monthly payments if I don't spend any money on anything else! That's the thing - if my take home per month is $2000, is the bank going to give me a mortgage with a payment of $2000, or are they going to say, 'hmm..she has to eat too, and probably pay an electric bill, so we'll give her only $1500' ?

Re: how much do you need to make to qualify for a $400,000 mortgage?

No income loans always carry a higher interest rate.

What benefit would the bank have if they didn't hike the rate? Then everybody would want the no income loan.

Re: how much do you need to make to qualify for a $400,000 mortgage?

I was told you can get a loan for 2 and 1/2 times your salary.

With regard to mortgage payments, the bank doesn't care if you eat or not, as far as I'm aware, the payment is what it is and you either make it or they foreclose.

I'm having heart palpitations right now because we're in contract and it's SO SCARY when I compare what we pay out now a month (which is peanuts) to what we will have to pay after we close.

Edited to fix my mistake.

Re: how much do you need to make to qualify for a $400,000 mortgage?

1 and 1/2 times salary? that sounds kind of low. If you make 80K that only qualifies you for a 120K loan!

Re: how much do you need to make to qualify for a $400,000 mortgage?

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Posted by kpny622

1 and 1/2 times salary? that sounds kind of low. If you make 80K that only qualifies you for a 120K loan!

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I agree! I qualified for that on just my salary (which is not $80K). A couple I know qualified for 280K and they don't even make 80K. The only way you're gonna know is go to bank and find out how much you'll get approved for!

Re: how much do you need to make to qualify for a $400,000 mortgage?

Re: how much do you need to make to qualify for a $400,000 mortgage?

Re: how much do you need to make to qualify for a $400,000 mortgage?

ooops, 2 1/2 times