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http://www.thechaiiottepost.com CI[)arIotte THURSDAY, AUGUST 25, 2005 3D REAL ESTATE Roland Hawkins Mortgage process It’s a good idea to get a rea sonable understanding of the mortgage loan process prior to searching for a home. Education is so important that several mortgage pro grams now require potential homebuyers to complete a course prior to loan approval. The mortgage loan process is broken down into four stages. The first is completion of the initial application. This is when lenders gath^ the nec essary underwriting informa tion required to determine a borrower’s loan worthiness. Mortgage applications can be taken in pereon, over the Internet or via telephone. During this preliminary stage a borrower may be able to obtain a pre-qualification letter. This letter simply states that an applicant is qualified for a mortgage based on his or her credit profile and the com pleted application. In addition to having a rea sonably good credit profile, most lenders will evaluate a borrower’s debts-to-loan ratios in their loan detamination. Most lenders use the standard 28/41 percent debts-to- income- ratios. Many home loan pregrams do not accept bonowQ:^ when the applicant’s monthly mort gage payment exceeds 28 pa*- cent of his or her monthly gross income. This is some times called the first ratio. A monthly mortgage payment usually includes the property taxes, insurance, principal and interest. If applicable, this first ratio may also include a small monthly payment for the Mortgage Insurance Pre mium (MIP) or Private Mort gage Insurance (PMI) fee. hi order to get final loan approval, a mortgage appli cant must pass the second ratio test as well. Most lenders will not consider mortgage requests when the applicant’s total monthly debts- to-income ratios exceed 41 percent of their monthly gross incxime. Both the first and second ratios need to be less than 41 percent to qualify for most mortgage programs. As an example, a person with a monthly gross income of $3,000 would qualify for a maximum (28 perc^it) loan amount/mortgage payment of $840. Using the same income, the total maximum monthly consumer debts cannot exceed $1,230 (41 percait of income). This maximum is comprised of the borrower’s projected monthly mortgage payment and total consumer debts. The second phase of the mortgage process is called the loan imderwriting stage. Dur ing this stage, l^ders will nor mally verify the information submitted Based on the infor mation submitted, an under writer will decide if a loan request is acceptable. Under writers can also recommend certain terms and conditions to grant loan approval. Your credit profile will have a sig nificant impact on how much of a down payment is required to grant loan approval. Credit scores have a strong influence on what terms, interest rates and conditions for which a loan progTEun will be approved The third phase in the mort gage process is called loan commitment. After all the underwriting requirements are met and reviewed, a lender is now prepared to either dedine or commit to a loan. ROLAND K. HAWKINS is a Real Estate Agent with Caldwell Banker United Realtors. He can be reached at (704) 840-5762 or wwwrolandhawkinscom. A&E1D SUNSHADES Naturally made for the shade PHOTO/ARACXDNTENT ARTICLE RESOURCE ASSOCIATION Creating outdoor living spaces has been one of the hottest home improvement trends these past few years. Himing the deck into an out door space with aU the sophistica tion, look and feel of the room inside provides the necessary sanctuary when escaping to the comforts of the backyard. However a new twist on this popular trend not only has peo ple moving outwards, but upwards too. As temperatures rise, glare and heat can deter backyard worshipers inside on summer afternoons. For that reason, many are incorporating Western Red Cedar sim-filtering structures atop outdoor living spaces. These “sunshades” let you enjoy the outdoors on even the warmest days, while providing pro tection fium harmful UV rays. Sun shade areas provide an ideal blend of shade and li^t — perfect as a retreat or a shady spot to cool off before going inside. Before incorpo rating a sunshade atop your outdoor living space, be sure to consider the following for maximum enjoyability; Size and layout matters Simshades normally connect with the house directly to provide maxi mum coverage and protection, but your outdoor living space may pre set a situation best served by a fi*eestanding overhead sunshade. Therefore, take special care when deciding the layout specifics and proportions of foundational posts or overhead rafters. For instance, a set of 4-by-4 inch foundation posts would mesh nicely with 2-by-6-inch overhead boards and 2-by-2-inch cross-sectional slats. Also, one of the greatest appeals of a sunshade is its cohe siveness with the outdoor living space itself — so make sure the siz- ii^ is appropriate and things are vertically straight and even in hei^t. You should also ensure tiie overhead canopy boards are level and evenly spaced in parallel to each other — attention to detail is essential here as a top-heavy design could affect the ‘halance” of your space. Decorative design (Ibnsider adding decorative touch es to all canopy board ends. lb cre ate a decorative end, perfect your design on construction paper then use it as a template to transfer your design to each board end. Be sys tematic and symmetric in applying this decorative design to each canopy board. The possibilities are endless here, but choosing decora tive flair to complement the archi tectural feel of your house while matching the deck railing design Please see NATURALLY/4D Liven up kitchen, bath with flooring .ARTICLE RESOURCE ASSOCIATION The next timp you get the urge to update the look in your kitchen or bathroom, you don’t have to start pricing out calnnets and fix tures. There’s a new design trend sweeping the nation. These days more and more people are setting the stage for a new look by replac ing their flooring. Floor Covering Weekly, an industry magazine that tracks trends in the flooring industry, lists tile, hardwood and vinjd as the most popular surfaces out thrae, but goes on to say that the interest in specialty flooring, which is both st jdish and comfort able is growing. Sales of natural flooring surfaces in particular, which include bamboo, cork and Marmoleum, are booming. What makes them so popular? Being environmentally fiiendly. PHOTO/ARA CONTENT Please see LIVE^^4D PHOTO/ARA CONTENT ‘Saddle chic’ ceramic tile refines the mstic ARTICLE RESOURCE ASSOCIAVON The new western inspired look, coined “Saddle Chic,” is rustic, yet refined. It’s down to earth. Bring the look into your home with willow furniture, stone, copper and wrought iron. Combine exposed woods such as pine, wal nut, oak and cedar in natural or distressed finishes with cotton and corduroy to give a cozy feel. Earth tones such as terra cotta, deep purple, green and brown enhance the warmth and feel of natural materials. Tiy just a touch of the “Saddle Chic” or do an entire room — even the bathroom. Since the natural material may not be the best solution in this case, you can eichieve the look by using ceramic tile firm Spain. Ceramic tile offers a Please see SADDLE/4D mm liiMiiiii
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