Hi {first_name},

 

An important question....

 

So far, I shared with you about better rates and getting cash out, but what about the other “stuff”.

 

Like mortgage insurance…

 

As you probably are aware, a mortgage (and insurance) is all about risk, so when they think the risk is high, you're going to need mortgage insurance. In other words, they need it, but you have to pay for it…

 

Doesn't seem quite right, does it?

 

But here’s the cool part, with your new credit score, new DTI (see below) and new assets (equity, we’ll cover that in the next email) you might not need it any more…

 

How nice would an ADDITIONAL $200 per month be? 

 

You could go out to your favorite restaurants a couple times per month, or save up for a vacation to somewhere like Hawaii. 

 

Either way, the choice is yours. 

 

Maybe you can stop paying for insurance you just don’t need anymore. 

 

Schedule a quick meeting with me call or text me back at 720.650.2288.

 

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P.S. I promised to cover DTI, so let’s talk about that real quick...

 

*The two ends were: Front End and Back End ratios.

 

DTI = Debt To Income ratio 

 

Simply put… **Bills / Income = DTI Ratio**

 

Front End Ratio is calculated like this:

 

New Mortgage (PITI or Principal, Interest, Taxes and Insurance) / Income

 

Back End Ratio is calculated like this:

 

[Bills + New Mortgage (PITI or Principal, Interest, Taxes and Insurance)] / Income

 

But you must check the end result yourself…

 

Why?

 

One last tip...

 

Usually your cell phone bills, health insurance, auto insurance, and electric bills do not report on your credit. So while you may get approved… you might actually feel downright uncomfortable repaying the new loan.

 

In the next email, I'll cover the third of the “Four Cs” or Capital (Assets and Down Payment).