Mortgage Questions Library

I offer fixed-rate mortgages (10, 15, 20, 30, 40 years), adjustable-rate mortgages (ARMs), jumbo loans, renovation loans, construction-to-perm loans, and specialized products like CashEdge®. We’ll discover together what’s best for your long-term plan.

Minimum credit score depends on the program: FHA and VA as low as 580 (sometimes lower), USDA often 620, and Conventional loans have recently eliminated minimum credit scores but 620 is a strong recommendation. For Jumbo or CashEdge®, usually 680+. If you’re not quite there yet, I’ll guide you step by step with a strategy to improve your scores.

Typical lender fees include origination, processing, and underwriting, but I’m transparent with everything upfront. Closing costs in Maryland/DC/VA/DE usually range 3–4% of the purchase price. I’ll provide a Loan Estimate early so you see all details.

Yes. Condos often have special underwriting considerations, such as reviewing the condo association’s budget, reserves, and insurance. I’ve financed many in DC and surrounding areas and can walk you through what to watch for. We have an outstanding condo team.

Typically 21–30 days for standard loans, but my CashEdge® program can close in as little as 10 days. Renovation and construction loans may take longer depending on scope. The key with timing is preparation, communication, and all parties being committed.

Yes. Programs like Maryland Mortgage Program (MMP), VHDA, DC Open Doors, and others may offer grants, down payment assistance, or reduced rates. I’ll check eligibility for you.

Yes, you can choose to buy down your rate with points or take a slightly higher rate with lower upfront costs. I’ll show a range of options in a side-by-side Total Cost Analysis.

Most loan types require an escrow for property taxes and homeowners insurance unless you have a 20%+ down payment. Even then, some government-backed programs require it.

Yes, I offer locks from 15 to 270+ days, sometimes longer. I’ll guide you on timing based on the market and your closing date.

On standard Conventional, FHA, VA, and USDA loans—no. Some Non-QM or investor loans may have them, but I’ll flag that clearly if it applies. We like to avoid those whenever possible.

Most lenders issue a pre-qualification based on unverified info. My Homebuyer’s Edge system gets you fully underwritten (credit, income, assets) upfront. This makes your offer nearly as strong as cash.

With Homebuyer’s Edge, I send the listing agent a digital offer dashboard with my personal video endorsement, showing and explaining your approval strength. I’ll also call the agent directly to advocate for you.

No. Conventional loans can go as low as 3% down, FHA 3.5%, VA and USDA 0%. I’ll help you weigh lower down payment vs. cash reserves.

Yes. Options include DSCR loans, conventional investment loans, and private lending. DSCR allows qualifying based on property income rather than personal income.

Yes. My construction-to-perm loans finance the land purchase, the build and permanent mortgage in one closing. Flexible draws and interest-only payments during construction.

Pre-qual is a quick check; pre-approval is verified with documentation and credit. Many of my clients get fully underwritten for maximum confidence.

Typically 90 days; new construction can be longer. I refresh it easily with updated documents if needed.

Yes, from family (and in some cases a documentable close personal friend). Documentation is required, but I’ll guide you.

Options include renegotiating, making up the difference, or exploring appraisal gap coverage strategies. I’ll advise based on your offer strategy and contract.

Yes. FHA 203(k), Fannie Mae Homestyle, and my Big Box Enhancement loan. These wrap purchase + renovation into one loan. All but the Big Box Enhancement loan are available for existing homeowners looking to renovate.

Yes, VA loans are one of my specialties. $0 down, no PMI, competitive rates.

Yes, I partner with many. Builder incentives may be available, and I also offer construction-perm financing.

I proactively update you and your agent at every milestone. You’ll never wonder what’s happening.

You’ll get a personalized dashboard, and I’ll review your docs quickly. Then we meet for a strategy call to go over options.

Yes, I’ll provide a side-by-side Total Cost Analysis video so you see the lifetime impact of each option.

Yes, if you qualify carrying both payments or if we use a bridge/CashEdge® structure. I’ll analyze both paths.

Yes, I’m accessible, but my chatbot Steve 24-7 also helps 24/7. Appointments ensure I give you my full attention.

Rates change daily and depend on 30+ factors. I’ll prepare a custom rate sheet and walk you through options so you choose your preferred rate/cost balance.

It depends on your goals. A 15-year builds equity faster with lower lifetime interest, but a 30-year offers flexibility and lower payments. I’ll show both in detail.

My 20+ years of experience, proactive communication, and disciplined systems are what set me apart. Homebuyer’s Edge and my Modern Mortgage Management system ensure you don’t just get a loan—you get a lifelong strategy.

Short answer: to improve your situation—lower your monthly payment, shorten your term, remove PMI, access equity for projects or consolidating higher‑interest debt, or move from an ARM to a fixed rate. My process is simple: we clarify goals, pull accurate numbers, and I build a side‑by‑side Total Cost Analysis (TCA) so you can see break‑evens, savings, and long‑term impact before you decide. Next step: schedule a quick strategy call at MeetSteveCombs.com or start the secure application to run the numbers.

• Rate‑and‑Term: Replace your current loan to lower payment, change term, or move ARM↔Fixed—usually no cash back.
• Cash‑Out: Access home equity for improvements, consolidations, or financial planning.
• Streamline (FHA/VA/USDA): Reduced documentation when you already have that loan type; often faster.
• HELOC (home equity line): Separate line for flexible, revolving access—great for phased projects or liquidity.

We’ll match the option to your goals and timeline in your analysis.

I include all costs (appraisal, title, recording, escrow adjustments, points if any) and divide by the verified monthly savings to estimate break‑even months. We also compare principal paid and total interest over time so you see the big picture—not just the rate. If the break‑even doesn’t make sense for your horizon, I’ll say so.

Typically: most recent mortgage statement, homeowner’s insurance declarations page, most recent property tax bill, photo ID, most recent 30 days of pay stubs, last 1 or 2 years W‑2s and/or tax returns, recent bank statements. If consolidating debts, include those statements. We’ll confirm your exact list on our intro call.

Most refinances close in ~3–4 weeks once we have a complete file; streamlines can be faster. Timing depends on appraisal, title work, and how quickly we receive documents. I’ll keep you updated so there are no surprises.

Often yes, especially for cash‑out or when removing PMI. Sometimes we receive an appraisal waiver on conventional loans. We’ll know early in the process and I’ll prepare you either way.

Yes, if your new loan‑to‑value (LTV) meets the guidelines—typically at or below 80% on conventional loans. We’ll verify with an appraisal or waiver. I’ll also compare the math of keeping vs. removing PMI to confirm it’s beneficial.

It depends on occupancy, loan type, and LTV limits. Conventional owner‑occupied cash‑out is commonly limited to ~80% LTV; second homes and investment properties have stricter limits. We’ll model scenarios to balance cash needs and monthly payment comfort.

Choose a HELOC when you need flexible, phased access to funds (projects over time) or want to keep the first mortgage intact. Choose cash‑out when you want one fixed payment, to lock a rate, or to consolidate multiple debts into a single term. We’ll compare both and let the math tell the story.

• FHA/VA: down to 580 FICO in many cases.
• Conventional: typically 620+.
• USDA: ~640+.

General guideposts we use:

Manual underwrite may be available for FHA/VA/USDA (not conventional). If you’re below a threshold, don’t worry—I’ll map out a score‑improvement plan so we can get you there.

DTI limits vary by program and overall file strength. Automated approvals (DU/LP/TOTAL) set the tone; manual underwrites have explicit caps. I’ll pre‑check your DTI and, if needed, suggest steps to improve it before locking a new loan.

Only if you choose another 30‑year term. Many clients refinance into a shorter term (20, 15, 10 years) or I’ll align a custom amortization so you don’t lose ground. Your analysis will show the impact both ways.

Expect standard lender, appraisal, title, recording, and escrow setup costs. You can usually roll costs into the new loan or use a lender credit (in exchange for a slightly higher rate). We’ll optimize cost vs. rate based on your horizon.

Possibly. New servicers set escrows based on current tax/insurance figures and cushion requirements. Sometimes you’ll get an escrow refund from your old loan after payoff. I’ll estimate this up front.

We can lock for 30–60 days (or longer if needed). If rates improve, a float‑down may be available depending on market and lock program. We’ll discuss the lock strategy that fits your timeline and risk tolerance.

Yes. We’ll document income with tax returns (and business returns if applicable). If traditional documentation doesn’t tell your story well, we also have Non‑QM options in certain cases (e.g., bank‑statement, 1099, or P&L programs). We’ll review all paths responsibly.

Yes, subject to LTV, reserve, and pricing requirements. We’ll compare conventional vs. DSCR options to see which best fits your goals.

Yes, but the second lien may need to be subordinated (stay in second position) or paid off. We’ll coordinate subordination early to avoid delays and compare outcomes either way.

Yes via cash‑out, subject to LTV. We’ll model total interest, timeline, and payment relief, and I’ll point out habits that keep you progressing toward your goals so you don’t re‑accumulate balances.

Most primary‑residence consumer mortgages today don’t have prepayment penalties, but we’ll verify your current note. If present (more common on some investment/non‑QM loans), we’ll plan around it.

ARM→Fixed can make sense for payment stability. Fixed→ARM can make sense for shorter horizons if the savings are meaningful. We’ll quantify both and choose based on your plans.

They’re reduced‑documentation refis for borrowers who already have those loan types—often quicker with limited appraisal/income checks. We’ll confirm eligibility, payment benefit, and recoup tests where required.

We can (1) dispute with additional comps, (2) adjust the structure, or (3) pivot to an alternate product if appropriate. I’ll walk you through the best path if this happens.

Often yes (e.g., removing an ex‑spouse), subject to program rules and equity/income qualification. We’ll plan the cleanest way to handle title changes and any buyout terms.

Possibly, depending on timing and program rules. Many guidelines require re‑established on‑time payment histories. We’ll check your exact timeline and set a plan if seasoning is still needed.

No. You can choose any lender. I’ll earn that choice by giving you clarity, speed, and a plan that fits your life—not just a rate.

If savings are minimal, break‑even is beyond your time horizon, or costs outweigh benefits, I’ll advise you to hold—and we’ll set a strike rate strategy to revisit when the math improves.

We can look at programs that allow higher LTVs, MI options, or a HELOC pairing. If equity is tight today, I’ll show you a path (pay‑down, value strategy, or timing) to get you there.

Generally, cash‑out proceeds themselves are loan funds (not income), but deductibility and use of funds have tax implications. I’m not a tax advisor; I’ll encourage you to confer with your CPA while I handle the loan math and structure.

Easy: (1) Schedule a quick strategy call at MeetSteveCombs.com, or (2) start the secure application (link above). If you’re exploring broader financial comfort (budget relief, payoff planning, retirement prep), ask about my Modern Mortgage Management (M3) system.