Mortgage Prequalification
(Lending area limited to MA, RI and Northern CT)

Milford Federal Savings and Loan Association wants to make your homebuying experience as easy as possible. To assist you in determining whether or not you qualify for the house or condominium you have in mind and which mortgage program is best for you, we have developed a Prequalification worksheet. This worksheet enables us to calculate your anticipated debt to income ratio. Use our calculator to help.

The debt-to-income ratio* is the formula used to determine how large a mortgage payment the borrower can qualify for based on their gross monthly income. The amount of the mortgage can vary depending on the mortgage product and rate.

Example:	Borrower	$2,000.00
	Co-Borrower	1,500.00
		$3,500.00	Combined gross monthly income
		*         x28%	Called first or top ratio
		$980.00	Total monthly mortgage payment.

Principal, interest, taxes, condo fee (if applicable), and private mortgage insurance (if needed) should not generally exceed 28% of combined gross monthly income.

Principal, interest, taxes, condo fee (if applicable), and private mortgage insurance (if needed), and all other debts (i.e. car loan, student loan, and/or credit card payments, etc.) should not generally exceed 36% of combined gross monthly income.

*These ratios are considered "rule of thumb." There may be compensating or other factors that could effect these ratios. Other factors taken into consideration when making a loan decision, but not available at time of pre-qualification, include past credit history of the Borrower(s) and the value and/or equity in the property being purchased, refinanced, or built, and employment history, etc. Please fill out the following worksheet and fax it to us at 508-478-3264, just call or come in for a FREE consultation.

OK, let's take a look at the worksheet!