In today’s episode of Grow Money Business Maggie Hopkins joins us to talk about all things mortgages. Maggie is a well-experienced mortgage broker in Sacramento and she shares her wisdom about what business owners, especially those who do not pay themselves a consistent W2 salary, should consider when they plan to buy a house. Toward the end of the episode she shares some of her best mortgage tips and a few things she wishes people knew about the mortgage and home buying processes.
[02:04] Maggie’s story – Maggie tells her story of how she got into the mortgage industry.
[03:18] Mortgage process – Maggie walks you through what the process looks like when someone wants to get money from a bank to buy a house.
[04:40] When you lack a consistent W2 income – Maggie explains what options you have when you don’t have a consistent W2 or self-employment income history.
[06:42] Rates and down payments – Grant and Maggie discuss the available options and rates for interest and down payments.
[08:32] Mortgage process in detail – Maggie gets to the nuts & bolts of how the approval process works.
[10:22] Quality mortgage – Maggie explains what’s considered a ‘Quality Mortgage’ and how the DTI, aka Debt to Income Ratio comes into play.
[12:19] “Locking the rate” – Maggie talks about the next step of the process, reserving money at the bank for a short time once you find a property to buy.
[16:25] How selling mortgages work – Maggie explains how your mortgage provider can sell your mortgage to another party and who to contact when you want to refinance.
[22:33] How lenders have changed – Grant & Maggie talk about how the lenders have changed in terms of leniency over the past decade.
[28:27] Mortgage misconceptions – Maggie debunks some of the misconceptions she has seen over her long career in the mortgage industry.
[36:41] Tips for specific cases – Maggie shares some useful mortgage tips for specific scenarios related to small business owners.
[44:06] What’s going on in the housing market – Maggie’s take on the current market status in Sacramento and her predictions for the next couple of years.
Resources:
Maggie’s website: maggiebhomes.com
Mortgage basics: consumerfinance.gov
About Form W-2: irs.gov
A Consumer’s Guide to Mortgage Refinancing: federalreserve.gov
Debt to Income Ratio: consumerfinance.gov