If I want to take a loan from my 401K to increase my downpayment to buy a home, does it affect my loan amount? In other words, do they take into account the monthly amount I have to pay for the 401K loan to determine how much loan I can take from the bank?If I take a 401K loan for buying home will it affect the bank loan?
Yes, it will be considered a debt. And on a full documentation loan, you may need to trace the source of any downpayment funds back a month or two (exactly for this reason, for the lender to ensure that the downpayment isn't borrowed, thereby raising your monthly debt).If I take a 401K loan for buying home will it affect the bank loan?
Yes. Depends on the loan of course. If its a no doc loan it wont matter but if its fha or conventional it will count.
Subscribe to:
Post Comments
(Atom)
No comments:
Post a Comment