how hard to qualify for mortgage on second home
Hello-my parents currently own a 280k house that they owe 230k on, my father is on medical disability and earns $1,000/month, my mom is 64 years old and earns 100k but will be retiring soon. They are thinking of buying a 160k house with 20% down to rent out. Do you think they will have a hard time qualifying for a second mortgage? Credit score is 810. They are going to contact a lender Monday, but I am curious about your thoughts. I keep hearing they are making it harder to get mortgages in general, but I am not seeing any real life examples. My sister just refinanced her 530k house, they have probably 80k equity, have a credit score of 820 and her husband makes great money, however I was shocked to hear that the bank they are refinancing with (not the one who currently holds the mortgage) didn't even come in the house to appraise it. Seems risky..how do they know (the bank) what they are buying???
Thoughts on my parents?