At some point, you may decide to purchase a second home. This does have its benefits. This will require pursuing a second home mortgage loan. In Asheville NC, this involves being aware of the rules and restrictions surrounding this purchase.
Defining a Second Home
A second home is a property you live in for at least part of the year. It is, as noted above, not an extra house obtained as an investment for rental or otherwise. For it to qualify as a second home, it must be occupied or visited by you regularly.
A Second Home Mortgage Loan in Asheville NC
If you plan to purchase a second property, do be aware of the lending requirements in your state. This includes qualifications. In North Carolina, you will need to have proof of and/or provide the following:
- A minimum credit score of a high level – often as high as 750
- A low DTI (debt-to-income) ratio. The lower it is the better your chances of obtaining a second home mortgage
- Proof of an income capable of handling two mortgages – the one on your primary residence and one for the secondary home
- A larger down payment than is required or expected for a first home mortgage. This may be as high as 35%.
Finding the Right Lender
All these variables depend upon the lender. When considering a second home mortgage loan in Asheville NC, be sure to carefully research all available lenders. Choose one that has a solid record of delivering optimal services at affordable costs.
