How to Qualify for a Mortgage in California: Your Step-by-Step Guide

Buying a home is one of the biggest financial decisions you’ll ever make—and getting approved for a mortgage is a key part of that journey. Whether you’re a first-time buyer or looking to move into your dream home, understanding how to qualify for a mortgage can give you the confidence to move forward.

As a mortgage advisor based in Chico, California, I work with clients across the state to create personalized plans that help them get homebuyer-ready. Here’s what you need to know if you’re starting the mortgage process.

1. 

Know Your Credit Score

Your credit score plays a major role in your mortgage approval. In general, a score of 620 or higher opens the door to more loan options, but there are programs available for lower scores too. I help my clients understand their credit report and take steps to improve it if needed.

2. 

Understand Your Debt-to-Income Ratio (DTI)

Lenders look at your DTI to see how much of your income goes toward debt each month. A lower DTI shows that you can manage monthly mortgage payments. We’ll review your full financial picture to make sure your DTI meets guidelines for conventional, FHA, or other loan programs.

3. 

Gather Proof of Income

You’ll need to provide documentation such as W-2s, tax returns, and recent pay stubs. If you’re self-employed or earn income in non-traditional ways, don’t worry—I work with a variety of lenders and loan programs that can accommodate different income types.

4. 

Save for a Down Payment

Depending on the type of loan you choose, you may need anywhere from 0% to 20% down. I help clients explore down payment assistance programs available in California and find options that fit their financial goals.

5. 

Get Pre-Approved

A pre-approval letter shows sellers you’re serious and financially ready. It’s also a powerful tool that gives you a clear budget before you start house hunting. I’ll guide you through the pre-approval process and help you understand what to expect.

Why Work with a Local Mortgage Advisor?

As a mortgage expert based in Chico, I know the California real estate market and the loan programs that work best for local buyers. My goal is to make the mortgage process feel simple and personalized—from first consultation to closing day.

If you’re thinking about buying a home in California, let’s talk. I’ll help you plant the seeds for financial growth and walk with you every step of the way.

Ready to get started?