I may be the 23rd person to tell you this, but I would simply have your lender add the hypothetical car payment into your monthly debt total and have them tell you whether you still qualify or not.
While we generally discourage buyers from accumulating new debt before a home purchase, if you need the car and you still qualify, there is no problem making this purchase.
If you would like a disinterested 3rd party to look at your situation, give me a call or an email.
Timothy Brown | President
Academy Residential Mortgage, Inc.| academyresidential.com
11380 Southbridge Pkwy, Suite 200 | Alpharetta, GA 30022
678.468.5626 x110 | fax 678.935.1156 | cell 678.467.9959
Let me know if you need a referral to a great lender - and I do suggest you avoid mortgage brokers - especially those who refer buyers loans out to Met Life - a nightmare!
Don't hesitate to call anytime you have a question or need sound advice.
Broker/Owner - Realtor
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"I Go The Extra Mile For My Clients - For No Extra Fee!"
C: 612 396-0692
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Chapman Hall Realtors-Premier
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770-783-8609 P Fax
Don't buy anything big until after loan is closed. Keep as much cash in the bank as you can too to help with the Qualifying. As everyone else said too: Call your lender right away for more details on how it would effect your particular situation.
As many have mentioned, you should discuss your specific home buying plans before you commit to buying the car. Suggest you get prequalified for the home including the car payment and see if it makes a material difference in your qualification. If the car is an absolute necessity, then you may consider renting a car from Hertz for a month and delay your car purchase until after closing on the loan.
I can help with the prequalification on your planned purchase.
Academy Residential Mortgage
Until you talk with a lender first, I would put off the car purchase - and perhaps wait until after your home purchase even if a lender says it looks ok - just to be sure nothing goes wrong. This is a once in a lifetime buyers market - if you know how to take advantage of the right opportunities and safely navigate your way through the market. It would be terrible to find out you can't buy a home because of a car purchase!
Once you get pre qualified, I would be happy to help you see and visit some very attractive properties, but first a question. How would you like to be able to see the best properties first - before someone else buys them, get way more information up front before making an offer, so you could submit an intelligent offer and assure the best price, avoid costly mistakes, and never waste your time and money submitting offers on the wrong properties? Sound too good to be true - well its not.
There is a way to get all this and more - it's called the Wise Buyer Program. It provides home buyers with an unmatched array of services, property and market information, and home buyer protections. It is simply the best way to buy or build a home in Georgia, and there is absolutely no cost to you!
For more details about the benefits of this amazing program visit the site below - then to take advantage, simply give me a call at your convenience!
To your success,
You should go ahead and talk with your lender now and they'll be able to tell you based upon your information, whether that will keep you from being able to purchase a home. It will clearly have an impact, but you may be fine. But your loan officer would be the one to give you the correct answer based upon your income, debt, credit score, etc. No real reason to wait to pre-qualify. Go ahead and do it now. If you need a referral to a great loan officer, just let me know. I'll be glad to help.
Keller Williams Realty
In part, it's up to you if a car or a house is more important. But here's one of most popular mistakes. Pay close attention to the timing.
Buyer qualifies to purchase a home.
Buyer is under contract to purchase said home.
Buyer purchases a new car before the closing of the home.
Lender pulls credit again just before closing, and now the car loan makes them ineligible for the home loan.
Buyer is in breach of contract and in jeppardy of losing earnest money.
Be aware of how the process works and make your decision accordingly.
Home Appreciators Team at
Better Homes & Gardens Real Estate Metro Brokers
What would be the best way to determine this would be to speak to a mortgage loan officer and determine what you currently qualify for and ask them to tell you what affect the additional car payment and car loan would have on your credit score and loan to income ratio. Without someone reviewing at all the numbers for you there is no general answer. This would enable you to make an informed decision about this important purchase.
Otherwise, cars depreciate severely, so check yourself before you wreck yourself.
My suggestion to you after qualifing homebuyers for 18 years is the following:
1. Pre-qualify now and have the loan officer look at it both ways.. With "X" for a car/monthly and without "X" for a car/monthly.
2. If a car is something you need to get you to work and back, of course income and work is important and getting there is even more important. I understand that.
3. If the new car is cause I love this new car and I have a car, then looking at the "whole picture" should be able to answer alot of your questions.
A loan officer with the expertise and skills should be able to give you all the answers you will need.
I would be honored to assist you if you find you would like to talk. Best of luck to you...
Lynel Adams/Sr Mortgage Consultant/Community Capital Bank
Sr Loan Officer / FHA 203K Renovation / HomePath Specialist