Income or Source of Income
The monthly income shows the capacity of the buyer to pay the obligation in paying monthly amortization of their loan term. The shorter the term, the bigger the monthly income/ other income sources it will require because of bigger monthly amortization.
This thought "kaya gusto namin mag-short term ay para mabilis ang pagbayad, pwede namang kaming mag-sakripisyo for 5 years", does not apply in bank consideration for loan approval because it's not the willingness to pay but the capacity to pay of the buyer as their first consideration.
This also means, that you need to have an established employment during loan approval.
The age is another consideration, usually the limit is 45 years old and above especially for long term financing like 15 years or more.
At Pag-IBIG Financing, a member should not be more than 65 years old at loan maturity while at Bank Financing the applicants should not be more than 60 years old. This means we should count years starting at approval of loans and not during reservation of property, because down payment might be payable for 12 months to 24 months and sometime loan processing takes some months.
Delinquent Credit Cards and Bouncing Checks
Delinquent credit cards and bouncing checks are other reasons you might be declined of housing loan. Depending on the severity of your obligation but all those delinquent cards or bouncing checks should have been cleared first before you might be given approval of. Existing housing loan is also a factor depending on your payment record and balance payables.
Cases involving estafa
The case involving estafa is a major reason you will be declined of any loans.
An additional, here are the C's of Credit that affects housing loan approval: Capacity, Character, collateral, credibility and condition.
Read also: Cs of Credit for Housing Buyers
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