My little rants on mortgage payment calculator
Then return to the mortgage market, and see how much better a deal you can make. Taking these actions will improve your credit rating and make you more attractive to mortgage lenders: * Reduce your current debt. The amount of your debt payments should be 40% or less of your monthly income. Debt payments include all your credit cards, any student loans you still have, your auto payment, and all mortgage loans you are paying. When calculating your debt to income ratio, lenders will add in the amount of the loan they are considering offering you, so not only your current debt, but also your debt after taking out the mortgage, should be under 40% of your monthly income.