Housing prices in Hawaii are some of the highest in the nation. Still, the market continues to thrive because of low interest rate loans.
With that in mind, lenders suggest potential buyers move quickly.
Because of those low interest rates, more and more people are interested in buying a new home – or refinancing their current loans. But some things have changed over the past few years.
"As we all know, the lending environment has gotten a lot stricter. And so what I would suggest is for clients to bring in their updated pay stubs, their bank statements, their tax returns and any other updated financial documents all at one time when they’re applying for a loan with their loan officer," says Jason Martinson of Central Pacific Bank.
Simply put, if you forget one important document and have to go home to get it – that is going to increase dramatically the time it takes for you to get that loan approval.
"Another thing to keep in mind would be that with the high volume that we’re seeing, and slightly slower turn times than what we’re used to, it makes sense to always keep your updated pay stubs and bank statements as you receive them and give them to your loan officer," Martinson says.
It may sound like you’re talking to a therapist – but the fact is, you need to tell the loan officer all you know about your finances.
"I would try to share as much about your financial situation as possible and that will help them to predict or even prevent some of the speed bumps that happen along the way," Martinson says.
It may not seem that obvious – suppose a family member presented you with a gift of money for the down payment.
"You want to consult with your loan officer because number one, you want to make sure that it’s eligible for that loan program and then number two, you want to make sure that you’re documenting the transfer of the gift funds from your family member to yourself so that it makes for much easier approval," Martinson says.
See the original article at: KHON2 Local News
