good morning.....the answer is yes, but chris's answer below is right on.....if you are concerned about the amt. you qualify for.....please remember that right now, a home mortgage is the lowest cost per thousand of debt you can obtain, plus the interest is tax deductable......if you are looking to increase the amount that you qualify for...take a look at your other credit..such as credit card and revolving debt....it can cost upwards of $25-$30 per thousand....mortgage rates are a fraction of that..example- assume your new mortgage is a 30 yr. fxd at 5.5%.the cost per thousand is $5.68..therefore, if you paid off a credit card with a balance of say $4,500 with a payment of $150.....that would enable you to borrow another $26,400..lowering the mortgage rate does help but doesn't have the significance of lower other debt......i hope that helps..bob mcclure- success mortgage partners- plymouth, michigan......

The question is why did the APR go up? Did the cost increase as in "fees" or was it due to a rate increase. If it was a rate increase, then it can effect your qualifications. Contact your lender for an explanation and your current qualifications. The key is not the APR. It is the interest rate for qualification purposes.

As a lender, in qualifying a borrower the ARP has nothing to do with qualifying--technically. The beginning of the ARP is the actual interest rate, of course. As a lender, I never look at the APR. Our fees are our fees and the rate is the rate. The computer prints out a form with the APR. We give it to the borrower as the government requires.

Sally W. Hamby
Pine State Mortgage

Hi SNookie, keep in mind the APR is calculated based off your mtg interest rate and various one time charges you incur at the time of closing. The real question to ask your lender is why is the APR increasing (interest rate change/additional fees/switch from ARM to Fixed, etc. Your actual interest rate may not have changed which then not impact your monthly payment. If the APR change is due to an interest rate change, you will need to see what the new monthly payment result is and revalidate your approval. Please advise if any questions,

Yes. You are qualified for a particular payment of a specific dollar amount. If the interest rate goes up, your principal amount has to decrease in order to keep the payment the same. The only way to keep the payment the same amount if the interest rate increases is to put more money down so that the loan/borrowed amount is less.