Six Ways to Qualify for a Bigger Mortgage

All too often, home buyers discover they can't afford the house they want. Here are some ideas for increasing the amount you can borrow:

Reduce your long-term debt. Paying off credit cards, for example, can improve your ratios, allowing you to qualify for a bigger mortgage;
Wait until you get more income;
Have another person join you in obtaining the mortgage. By signing the loan application, their income is included (so are their debts) and they become legally obligated to fulfill the terms of the mortgage along with you. (So choose a co-signer carefully and make sure the co-signer understands the implication of this action);
Use financing options that require lower down payments;
Use financing options that allow you to make lower monthly payments; and
Wait for interest rates to drop, for the lower the rate, the more you can borrow. If you can't (or don't want to) wait, you can lower the rate yourself.