Table of Contents
Introduction - The Current Foreclosure Crisis
Preventing Foreclosure Before You Buy - Preparing for Homeownership
How to make your home foreclosure-proof before you buy
(1) Your own financial contribution towards the purchase
(2) Having enough cash in savings as a reserve
(3) When considering a purchase, watch your DTI ratio
(4) Knowing how to negotiate for the best deal
(5) Checking accuracy of your credit files before applying for loan
(6) Avoiding major changes when considering mortgage financing
Exploring Options for Your New Home with a Buyer’s Agent
Homes in pre-foreclosure available for sale by owner
Foreclosed homes available as REOs from HUD, VA, and others
Assembling Your Team of Advisors and Consultants
Understanding the Loan Approval Process
Choosing the Right Loan Product
Government insured and guaranty programs
Adjustable-rate (ARM) mortgages
Selecting the best loan product for foreclosure-proof financing
Meeting Your Obligation to Your Mortgage Lender
Calculating your debt-to-income ratios
Calculating Loan to Value (LTV) ratio
Calculating Closing Costs Cash Requirements
Calculating Total Cash Required for Transaction
Annual Credit Report Request Form
