Like in the United States, lending institutions here in Jamaica have now joined the notion of checking the credit history of borrowers to minimise the risks associated with lending. Once you apply for a mortgage or any loan, your bank has the right to request your credit information, which they use in collaboration with your application and documentation provided to help determine your eligibility for a mortgage and the amount you qualify to borrow.
According, the National Housing Trust (NHT), it is wise for house hunters to attain an eligibility letter, which is a letter that it prepares and issues for applicants in either of two instances, for the Joint Financed Mortgage Programme (JFMP) or confirmation of loan limit.
Under the JFMP, applicants access a mortgage loan through another institution, like a bank, credit union or building society. That institution processes all the relevant documents and forwards them to the Loans Department of the NHT after which the Eligibility Letter is prepared and issued but expires after six months. While the confirmation of loan limit allows applicants to get their eligibility letter on the same day if they provide all the relevant documentation, it carries an expiration date of three months.
You may request the eligibility letter at the Customer Service Unit or the Mortgage Information Unit at any NHT Branch.
You will need to provide the following:
• NIS Card of the person applying for the loan
• TRN Card of the person applying for the loan
Pay slips for the last two (2) months
• Verification of Gross Income and Contributions letter from present and past employers
• Valid identification (current Jamaican passport, national voters ID or driver’s licence).
So, there you have it! Simple steps to follow before moving out of your parents’ home. Big dreams need the proper budget, and the right budget must be approved before choosing a home.