Q: Many lenders speak of mortgage guidelines relaxing, is it worth it for my clients that previously couldn't qualify for a home loan to try again?

Rebecca Ross  I President, Elite Lending
A: That's a good point and very timely with it being tax season right now.

A few reasons to revisit applying for a home loan:

- Income increase in 2014: I'm seeing a growing trend of more and more clients who have made significantly more money in 2014 than they did in previous years as our economy continues to recover.  Particularly with self- employed buyers, now is a good time to revisit if you couldn't qualify in the past due to income related issues.

- Down Payment Requirements: One of the biggest hurdles to buying a home is accumulating the pile of cash for a down payment. With the recent introduction of several new programs, prospective home buyers with little money to put down now have more options to consider.

- Credit Recovery: Did you have a foreclosure or short sale on your credit that prevented you from qualifying for a new home purchase? Now is a good time to circle back to those dates of the derogatory credit issues because the waiting periods are not as long as most potential buyers think that they are.  In some cases, there is no waiting period if you can prove extenuating circumstances (loss of job, decrease in income, death or medical are some examples).

Debt-to-Income Ratio: Did you not fit within the ratios needed for loan approval? Say you have have solid credit scores and money in the bank, but because of student loans or car payments your debt-to-income ratio exceeds the maximum that federal rules generally prescribe. Good News: A small, but growing number of lenders have now begun offering mortgages with more-flexible terms designed for borrowers like this.

.These are a couple of examples to revisit applying for a home loan, but if you have any questions about a particular case, please let me know the details and I can see if you fit the current guidelines in place whether it be Fannie/Freddie, FHA/VA or our Portfolio product line.