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Burbank Mortgage FAQ
Burbank's mix of studios, schools, and neighborhoods creates unique mortgage scenarios. We answer the questions we hear most from buyers here.
These FAQs cover everything from qualifying with entertainment industry income to choosing loans for million-dollar homes near the Rancho. Real answers from brokers who close deals in LA County daily.
Most conventional loans close in 21-30 days. FHA and VA loans typically need 30-45 days due to additional appraisal requirements.
FHA loans accept scores as low as 580 with 3.5% down. Conventional loans typically require 620 minimum, though better rates start at 680.
Yes. Bank statement loans and 1099 loans work well for crew, producers, and freelancers with irregular income.
FHA loans require 3.5% down. Conventional loans allow 3% down for first-time buyers, 5% otherwise.
Loan amounts over $806,500 require jumbo financing. Many homes near the studios and Rancho exceed this threshold.
Most lenders want two years of tax returns, 60 days of pay stubs, two months of bank statements, and photo ID. Self-employed borrowers need additional business documentation.
Expect 2-5% of the purchase price. On a $900,000 home, that's $18,000-$45,000 including lender fees, title, escrow, and prepaid items.
Get pre-approved. It requires document verification and credit checks, making your offer competitive in Burbank's market.
FHA allows lower credit scores and smaller down payments but requires mortgage insurance for the loan's life. Conventional loans drop PMI at 20% equity.
Yes. VA loans require no down payment and no monthly mortgage insurance, a major advantage given Burbank home prices.
Lenders analyze 12-24 months of business bank deposits instead of tax returns. This works well for write-off heavy businesses.
Rates vary by borrower profile and market conditions. Credit scores above 740, large down payments, and stable income secure the best pricing.
Yes, if you put down less than 20%. PMI costs 0.3-1.5% of the loan amount annually until you reach 20% equity.
Yes. FHA loans cover 2-4 unit properties if you occupy one unit, with down payments as low as 3.5%.
DSCR loans qualify you based on rental income, not personal income. They're ideal for investment properties in Burbank's strong rental market.
An appraiser inspects the property and compares recent sales to determine market value. Low appraisals can kill deals or require renegotiation.
Yes. Most lenders offer 30-60 day rate locks at application, protecting you from increases during processing.
Most conventional loans cap DTI at 43-50%. FHA stretches to 56.99% for strong borrowers with compensating factors.
Only if you'll keep the loan 5+ years. Each point costs 1% of the loan amount and typically reduces your rate 0.25%.
Areas south of Olive offer more affordable options. The Rancho and hills command premium prices but appreciate consistently.
Yes. Foreign national loans require larger down payments, typically 30-40%, and don't require US credit history.
ARMs offer lower initial rates that adjust after 5, 7, or 10 years. They work if you'll sell or refinance before adjustment.
ITIN loans use Individual Taxpayer Identification Numbers for borrowers without social security numbers. Down payments start at 15-20%.
Bridge loans let you buy before selling your current home. They're expensive short-term solutions for competitive situations.
Yes. Most loan programs accept gifts from family, though lenders require a gift letter confirming no repayment expectation.
Pre-approval means you likely qualify based on initial review. Clear-to-close means underwriting approved your full file and you're ready to fund.
Properties in designated flood zones require it. Most of Burbank isn't in flood zones, but lenders verify this during processing.
With 20% down, expect to need $180,000-$200,000 annual income depending on debts. Lenders verify you can handle the payment comfortably.
These loans qualify you by dividing liquid assets by 360 months to create income. They work for retirees or high-net-worth buyers.
Yes, through a rate-and-term refinance. You'll need to qualify on your income alone and typically need 20% equity.
Competition remains strong near top-rated schools and studio districts. Working with a mortgage broker who shops 200+ lenders helps you close fast.
No. California uses escrow companies and title companies instead of attorneys for closings.
Portfolio ARMs are held by the lender instead of sold to Fannie or Freddie. They offer flexibility for complex income situations.
Brokers access 200+ wholesale lenders instead of one bank's products. We find better rates and programs your situation needs.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Non-QM loans that use 12 to 24 months of bank statements to verify income for self-employed borrowers.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Mortgage programs designed for non-US citizens and non-permanent residents who want to purchase property in the United States.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.