• Buying a Home,  Mortgage

    5 Tips for Homebuyers Seeking a Mortgage

    Here’s a warning for potential borrowers: Nervous lenders have tough new rules and are paperwork crazy. “Borrowers are going to have to prove they are the borrower they say they are,” says Keith Gumbinger, vice president of HSH Associates, a mortgage-industry publisher in Pompton Plains, N.J. Gumbinger says homebuyers should consider these things before they apply for a loan. 1. Down payments are critical. Borrowers should expect to put down at least 10 percent for a “conforming loan” – a mortgage that Fannie Mae and Freddie Mac will purchase. 2. Credit scores count. A 720 on the 850-point FICO rating scale will get a borrower access to the best rates.…