Blog – CTeBockhorst's Blog

How Buying a Home With Someone You Are Not Married To Changes the Financial Conversation

September 17, 2026 by Coleen TeBockhorst

Buying a home with a partner, friend, sibling, or other person can make homeownership possible sooner and allow two people to combine their financial resources. But when two people who are not married purchase a home together, there are financial conversations worth having before they begin looking at properties. A mortgage may be shared, but income, debts, savings, credit profiles, and expectations about ownership can be very different.

Applying Together Means Sharing the Financial Picture
When two people apply for a mortgage together, the lender evaluates information from both borrowers. That can include income, employment, debts, assets, and credit histories.

One person earning significantly more does not necessarily cancel out financial obligations carried by the other. Buyers should understand what each person brings to the application before deciding how much home they want to pursue.

This is also a good time to discuss how much each person is actually comfortable spending. Qualifying together for a certain amount does not mean both buyers will feel equally comfortable with the resulting payment.

Decide How the Upfront Costs Will Be Divided
The down payment is only one expense involved in purchasing a home. Buyers may also need funds for closing costs, inspections, moving expenses, immediate repairs, furnishings, and reserves.

Will everything be divided equally? Will one buyer contribute more toward the down payment? If so, does that change how the buyers view their respective ownership interests?
Having these conversations before money changes hands can prevent very different assumptions from developing later.

Ownership and Mortgage Responsibility Are Different Issues
Being responsible for a mortgage and having legal ownership of a property are related, but they are not exactly the same thing.

Buyers should understand how title will be held and what that means for each person’s ownership interest. This becomes especially important when contributions are unequal or when buyers want to establish what should happen if one person eventually wants to sell.

Questions involving title and ownership rights may also warrant a conversation with an appropriate legal professional before closing.

Talk About the Unexpected Before It Happens
What happens if one person wants to move? What if someone cannot contribute to the payment for several months? Who pays for a major repair? What happens if one buyer wants to keep the property while the other wants out?

These conversations may feel premature when everyone is excited about buying a home, but that is precisely when expectations should be established.

Purchasing a home together can be a strong financial partnership. The key is making sure both buyers understand not only how they will get into the home, but how they plan to handle the financial responsibilities that come with owning it.

What Happens to Your Mortgage Options When a Home Does Not Appraise as Expected?

September 16, 2026 by Coleen TeBockhorst

You have negotiated a purchase price, your offer has been accepted, and the mortgage process is moving forward. Then the appraisal comes back lower than expected. For buyers, that can be unsettling, but a low appraisal does not automatically mean the purchase is over. What happens next depends on the contract, available funds, financing, and what the buyer and seller are willing to do.

Why the Appraised Value Matters to Your Mortgage
Mortgage financing is generally based in part on the property’s appraised value. If a buyer agrees to pay $425,000 but the home appraises for $400,000, the lender does not simply treat the property as though it were worth the higher amount.

This can change the loan-to-value calculation and potentially affect how much the buyer can borrow under the planned financing structure. That is when the buyer may need to evaluate several possible paths forward.

The Purchase Price May Be Renegotiated
One possibility is negotiating with the seller to reduce the purchase price. A seller is not necessarily required to lower the price simply because of the appraisal, but the appraisal can provide new information for both sides of the transaction. Depending on the market, contract, and circumstances, the parties may agree to a different price.

The Buyer May Contribute Additional Cash
Another possibility is for the buyer to cover some or all of the difference between the purchase price and the value being used for financing. That does not necessarily mean paying the entire appraisal gap dollar for dollar. The amount needed depends on the loan structure, down payment, and any changes made to the transaction.

Before contributing additional cash, buyers should consider what doing so would leave available for closing costs, reserves, moving expenses, and expenses after purchasing the home.

The Financing Structure May Be Revisited
Sometimes the mortgage strategy itself can be adjusted. A mortgage professional may be able to evaluate whether changing the down payment, loan amount, or another component of the financing creates a workable alternative. Available options will depend on the buyer’s finances and the loan program.

In certain circumstances, there may also be a process for questioning or reconsidering an appraisal when credible information supports doing so.

Know Your Options Before Making a Decision
A low appraisal can create an unexpected decision point, but buyers should avoid assuming there is only one solution. The purchase price, additional cash, financing structure, appraisal findings, and terms of the purchase contract can all influence what happens next.

Understanding those options can help buyers make a financial decision based on the complete picture rather than reacting to one number on an appraisal report.

Why the Type of Property You Buy Can Affect Your Mortgage Options

September 15, 2026 by Coleen TeBockhorst

When buyers start thinking about mortgage options, they often focus on their own finances: income, credit, debts, savings, and down payment. But there is another part of the equation that can be easy to overlook. The property itself matters. A traditional single-family home, condominium, manufactured home, multi-unit property, or unusual property may not be treated exactly the same when it comes to financing.

A Mortgage Is Secured by the Property
A lender is not only evaluating whether a borrower can repay the loan. The property securing that mortgage must also meet the requirements of the particular loan program being used.

For a fairly typical single-family home, this process may be relatively straightforward. Properties with different characteristics, however, can introduce additional requirements or limit which financing programs are available.

That is why buyers should discuss the type of property they are considering with their mortgage professional early in the process.

Condos Can Add Another Layer
When purchasing a condominium, financing may involve more than evaluating the individual unit. Depending on the mortgage program, characteristics of the condominium project or homeowners association may also be reviewed.

Items involving insurance, project finances, occupancy, litigation, or other property-level considerations can potentially become part of the financing process.

A buyer can have strong personal finances and still encounter an issue related to the condominium project itself.

Multi-Unit Properties Work Differently
A buyer purchasing a duplex, triplex, or four-unit property may have financing opportunities that differ from those available for a traditional single-family home.

If the buyer plans to occupy one of the units, anticipated rental income from the other units may sometimes become relevant to qualification. At the same time, different down payment, reserve, appraisal, or documentation requirements may apply depending on the loan program.

Manufactured and Unusual Homes Can Require More Research
Manufactured homes can have specific requirements involving the home’s age, foundation, land ownership, title, and other characteristics.

Properties that are especially unusual can also require additional consideration. A home with substantial commercial space, an unconventional design, significant acreage, or features that make comparable sales difficult to find may not fit neatly into every mortgage program.

Ask About Financing Before Falling in Love With the Property
The right time to discover that a particular property requires different financing is not after a buyer has already become emotionally committed to it.

Before pursuing an unusual property type, buyers should find out whether their planned financing is compatible with the home.

Mortgage qualification is partly about the borrower, but it is also about the property being financed. Understanding both sides of that equation can make the home search considerably smoother.

What’s Ahead For Mortgage Rates This Week – September 14th, 2026

September 14, 2026 by Coleen TeBockhorst

While CPI data has come in within expectations for current inflation, inflation remains much higher than in previous years. The rate is holding steady at 2.4%, which is above the Federal Reserve’s 2.0% target.

There are sectors where cost has seen significant increase and has not been reflected in the CPI due to the more recent changes implemented by the Trump administration. Fuel costs, for example, have seen an upward year-over-year trend that has been exacerbated by the recent war in Iran.

The Fed Beige Book and balance sheet have also shown steady growth and an upward trend as of late. Despite inflation data running counter to this idea, there are still widespread expectations that rates will be cut again.

Consumer Price Index
Consumer prices increased 0.4% in August, while core CPI rose 0.3%. Annual inflation remained at 3.4%, with core inflation easing to 2.4%. While underlying inflation continues to move closer to the Federal Reserve’s 2% target, the monthly increase suggests that inflationary pressures remain persistent.

Producer Price Index
Producer prices increased 0.4% in August, while prices for goods rose 1.1% and services increased 0.1%. Producer prices were up 5.4% from a year ago, indicating continued wholesale inflation pressure. Core PPI, excluding food and energy, increased 0.2% for the month and 4.6% year over year. The stronger headline reading could make the Federal Reserve more cautious about future rate cuts, potentially putting upward pressure on mortgage rates.

Primary Mortgage Market Survey Index

15-Year FRM rates saw an increase of 0.05%, bringing the current rate to 6.09%.
30-Year FRM rates saw an increase of 0.05%, bringing the current rate to 6.76%.

MND Rate Index

30-Year FHA rates saw an increase of 0.24%, with current rate at 6.68%.
30-Year VA rates saw an increase of 0.24%, with current rate at 6.70%.

Jobless Claims
Initial Claims were reported to be 206,000 compared to the expected claims of 200,000. The previous week landed at 209,000.

What’s Ahead
FOMC is holding an economics projection meeting which should provide forward guidance on policy. Additionally, the Federal Reserve Interest Rate decision happening mid-week, making for a very light week.

How Mortgage Underwriting Looks at Your Financial Picture

September 11, 2026 by Coleen TeBockhorst

Mortgage underwriting can seem mysterious when you are buying a home. You submit documents, answer questions, and sometimes receive requests for additional information without knowing exactly what is happening behind the scenes. Understanding the purpose of underwriting can make this stage of the mortgage process much less intimidating.

Underwriting Looks Beyond One Number
A mortgage decision is generally not based solely on your credit score or income. Underwriting evaluates multiple parts of your financial profile to determine whether the loan meets applicable lending requirements.
The exact criteria depend on the mortgage program and lender.

Income and Employment Are Reviewed
Lenders need to document qualifying income and may review employment history and the way you are compensated.

Salary, hourly wages, commissions, bonuses, self-employment income, and other income sources may have different documentation requirements.

Credit and Monthly Obligations Matter
Your credit history can provide information about how you have managed financial obligations. Underwriting may also consider debts such as auto loans, student loans, credit cards, and other required monthly payments. These obligations can affect the amount of mortgage debt you qualify to carry.

Assets May Need Documentation
Funds used for the down payment, closing costs, and applicable reserve requirements may need to be verified.

Large or unusual deposits can sometimes generate questions because the lender may need to document where the money originated. Before moving significant amounts of money between accounts during the mortgage process, consider discussing it with your mortgage professional.

The Property Is Part of the Equation
Underwriting is not only about the borrower. The property securing the mortgage must also satisfy requirements associated with the loan. An appraisal and other documentation may be used to evaluate aspects of the property and transaction.

Additional Questions Are Not Unusual
A request for another document does not automatically mean something is wrong. Underwriters may simply need additional information to complete the file.

Underwriting is ultimately about putting the pieces of your financial picture together. Staying organized, responding promptly to documentation requests, and avoiding unnecessary financial changes can help keep the process moving toward closing.

Why Your Cash Reserves Matter After You Buy a Home

September 10, 2026 by Coleen TeBockhorst

Saving enough money for a down payment and closing costs can feel like the primary financial goal when purchasing a home. However, becoming a homeowner does not mean your need for savings disappears at closing. Keeping money available after the purchase can provide an important financial cushion as you adjust to the costs and responsibilities of homeownership.

Homeownership Comes With Unexpected Expenses
Even a well-maintained home can surprise you. An appliance can stop working, a plumbing problem can appear, or an HVAC system may suddenly need attention.

Unlike renting, homeowners are generally responsible for handling repairs and maintenance themselves. Having reserves available can make an unexpected expense much easier to manage.

Your First Months May Cost More Than Expected
Moving expenses, window coverings, furniture, utility deposits, landscaping supplies, and basic household items can add up quickly.

It is easy to focus on the purchase price while underestimating how much money may be spent getting settled into a new home.

Reserves Can Protect Your Monthly Budget
An emergency fund can help prevent an unexpected home expense from immediately becoming credit card debt.

The appropriate amount to keep in reserves depends on your household expenses, income stability, property, and overall financial circumstances. The important point is to think beyond simply having enough cash to complete the transaction.

Avoid Draining Every Dollar for the Down Payment
Putting more money down can have financial benefits, but using nearly all available savings to do so may leave little room for unexpected expenses after closing.

Before deciding how much cash to put toward the purchase, consider what you will have remaining afterward.

Plan for Ongoing Maintenance
Homes require maintenance even when nothing is broken. Regular servicing, minor repairs, landscaping, and replacement of aging components should be part of your longer-term financial planning.

Buying a home is not just about being financially prepared for closing day. Maintaining healthy cash reserves afterward can provide flexibility, reduce financial stress, and help you handle the normal surprises that come with owning a home.

What Happens If Your Income Changes Before Closing?

September 9, 2026 by Coleen TeBockhorst

Getting approved for a mortgage is an important milestone, but the financial review does not necessarily end once you receive an initial approval. Lenders may verify certain information again before closing, including your employment and income. If your income changes during this period, it could affect your mortgage approval, depending on the circumstances.

Why Income Still Matters Before Closing
Your mortgage qualification is based partly on the income documented during the application process. Lenders use this information to determine whether your income meets the requirements for the loan and whether your monthly obligations are manageable.

Because closing may occur weeks after the initial application, lenders may perform additional verification before the loan is finalized.

Not Every Income Change Is the Same
A raise or promotion may have a very different effect than reduced hours, a change from salary to commission, or leaving a job entirely. Starting a new position may also require additional documentation.
Even when a career change appears financially positive, the lender may need to review the new employment arrangement before proceeding.

Tell Your Loan Professional About Changes
If your employment, hours, compensation structure, or income changes before closing, communicate with your mortgage professional as soon as possible.

Do not assume that a change is too small to matter. Providing information early gives the lender an opportunity to determine whether additional documentation is required.

Avoid Making Unnecessary Career Changes
When possible, the period between mortgage application and closing is generally not the ideal time to make major employment changes without first discussing them with your mortgage professional.
If a change is unavoidable, keep documentation related to your new compensation and employment.

Stay Financially Consistent
Income is only one part of your financial profile. Large purchases, new credit accounts, additional debt, and unexplained changes in your finances can also create additional questions before closing.

Your financial situation at closing should remain consistent with the information used to approve your mortgage. Staying in communication with your mortgage professional and reporting changes promptly can help prevent unexpected complications as you approach the finish line.

What’s Ahead For Mortgage Rates This Week – September 8th, 2026

September 8, 2026 by Coleen TeBockhorst

The Non-farm Payroll figures are a strong indicator of the job market and showed a notable increase this quarter. However, this doesn’t necessarily indicate a significant shift in the job market as a whole, as certain sectors have experienced outsized impacts compared to others. JOLTs job openings data does support the increase in openings seen over the last quarter, though it is not among the largest indicators on the broader economic scale.

Non-farm Payrolls
The +162,000 jobs was considerably stronger than the 31,000 average monthly gain over the preceding 12 months. Food services added 59K and local-government education added 42K, while information employment fell 23K.

JOLTs Job Openings
The number of job openings was little changed at 7.3 million in July, the U.S. Bureau of Labor Statistics reported today. Hires and total separations both changed little at 5.1 million. Within separations, quits (3.1 million) and layoffs and discharges (1.7 million) were little changed.

Primary Mortgage Market Survey Index

15-Year FRM rates saw an increase of 0.06%, bringing the current rate to 6.04%.
30-Year FRM rates saw an increase of 0.05%, bringing the current rate to 6.71%.

MND Rate Index

30-Year FHA rates saw an increase of 0.07%, with current rate at 6.44%.
30-Year VA rates saw an increase of 0.09%, with current rate at 6.46%.

Jobless Claims
Initial Claims were reported to be 200,000 compared to the expected claims of 209,000. The previous week landed at 215,000.

What’s Ahead
PPI and CPI inflation data are set to be released mid-week, along with other notable economic releases, including the Federal Reserve Balance Sheet and Consumer Credit data.

4 Ways to Help Your Mortgage Transaction Close On Time

September 4, 2026 by Coleen TeBockhorst

When you’ve finally found the home you’re looking for at the right price, it’s easy to think that the hard part is over; however, there’s still a lot to do in order to ensure your purchase goes through without a hitch. If you’re tying up the loose ends on your home purchase, here are some things you should do to avoid any unnecessary delays.

Hire A Legal Professional

However much research you may have done in regards to buying a home, there’s still a lot of legal jargon in the closing documents that can be difficult for most people to understand. Instead of doing guesswork, you may want to use an attorney who will take the difficulty out of the documents for you so there will be no holdups with the paperwork.

Arrange A Home Inspection

A home inspection is a necessary step before the sale of a home, but this is an important one to get out of the way because it can seriously impact your home purchase. Because major problems can often be discovered during inspection, getting this out of the way and deciding if an item should be fixed or the total price knocked down will ensure there are no delays at the last minute.

Acquire Title Insurance

In order to make sure your property really belongs to you, it’s a good idea to have a title search completed to see if there are any claims to your future property that could invalidate your purchase. As this is a legal safeguard for your claim to your home, it will help you avoid unnecessary issues in the event of an unknown property claim.

Determine The Closing Costs

An escrow company is responsible for holding the funds until all aspects of a home sale are complete, but there are fees that go along with this service. Before you get to the end of the process, determine what exactly the company will be charging so that you can be prepared for the final total. While fees are legitimate, if you see a higher tally than expected, you may want to negotiate for a reduced cost.

Purchasing a home is a significant investment full of hurdles you might not be aware of, but by acquiring title insurance and having a legal professional look through your documents, you can make your home purchase go a little smoother.

Ways That You Can Go Greener On Your Home Improvement

September 3, 2026 by Coleen TeBockhorst

Ways That You Can Go Greener On Your Home Improvement Making your home improvement projects more environmentally friendly is a great way to reduce your carbon footprint and help protect the planet. Here are some ways you can go greener on your home improvement projects:

Use eco-friendly materials: Consider using materials that are made from sustainable and renewable resources such as bamboo, cork, or recycled materials. These materials not only have a lower impact on the environment but can also add a unique touch to your home.
Choose energy-efficient appliances and fixtures: When choosing appliances and fixtures for your home improvement project, look for those that are Energy Star rated. These appliances and fixtures are designed to be more energy-efficient, which can save you money on your utility bills in the long run.
Install a programmable thermostat: A programmable thermostat can help you reduce your energy usage by allowing you to set temperatures for different times of the day. This way, you can adjust your home’s temperature based on when you are home or away.
Incorporate natural light: Adding skylights, larger windows, or light tunnels can help bring natural light into your home, reducing the need for artificial lighting during the day.
Choose low-VOC paints and finishes: Volatile organic compounds (VOCs) can be harmful to the environment and your health. When choosing paints and finishes for your home improvement project, look for low-VOC options.
Implement water-saving measures: Install low-flow showerheads, faucets, and toilets to conserve water and reduce your water usage.
Select materials that are locally sourced: Choosing materials that are locally sourced can help reduce the environmental impact of transportation and support local businesses. Look for materials that are produced within a 500-mile radius of your home.
Recycle and repurpose: Instead of throwing away old materials and fixtures, try to recycle or repurpose them. This can help reduce waste and save money on your project.

By implementing these green home improvement practices, you can reduce your impact on the environment while also improving your home’s energy efficiency and overall sustainability.

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