How to Improve Your Chances of Getting a Mortgage

March 13, 2025
Matt Doby
Buying a Home, Credit

🏡 How to Improve Your Chances of Getting a Mortgage in South Carolina & North Carolina

Getting approved for a mortgage is a major step toward owning a home in the Carolinas — but preparation is key. Whether you’re buying in Charleston, Columbia, Raleigh, or Charlotte, lenders look closely at your financial profile. With a few smart moves, you can boost your odds and secure better loan terms.

Here’s how to position yourself for mortgage success in South Carolina and North Carolina.

1. ✅ Check and Improve Your Credit Score

Your credit score is one of the first things lenders look at — and it can impact your interest rate and approval odds.

Before applying:

Request a free credit report from AnnualCreditReport.com
Look for inaccuracies or outdated accounts and dispute them
Make on-time payments on all credit accounts and bills
Pay down credit card balances below 30% of your credit limit
Avoid opening new credit lines within 3–6 months of applying

💡 Local tip: South Carolina and North Carolina both offer homebuyer education programs that may help you qualify with lower scores if you meet other criteria.

2. 📉 Lower Your Debt-to-Income Ratio (DTI)

Your debt-to-income ratio compares your monthly debt payments to your income — and it’s one of the top risk indicators for lenders.

To reduce your DTI:

Pay off or reduce existing debts (especially revolving credit)
Hold off on taking new loans or financing before mortgage approval
Consider additional income streams — side jobs, freelance, or seasonal work

🧮 In most cases, lenders prefer your DTI to be below 43% (including your future mortgage payment).

3. 💰 Save for a Down Payment

While VA, USDA, and FHA loans offer low or no down payment options, having more saved can:

Strengthen your application
Lower your monthly payments
Help you qualify for better rates

Target amounts:

3.5% for FHA loans
5–10% for conventional loans
20% to avoid PMI (Private Mortgage Insurance)

💡 NC/SC Insight: Many counties offer local down payment assistance programs, especially for first-time buyers and veterans.

4. 💼 Maintain Stable Employment & Income

Lenders want to see steady income for at least 2 years. If you’re planning to change jobs, wait until after you close.

If self-employed, you’ll need:

At least 2 years of tax returns
Business bank statements
Profit & loss statements

🏢 Tip for government and military employees in SC/NC: W-2 income and LES paystubs are usually accepted with fewer documentation hurdles.

5. 📝 Get Pre-Approved Before You Shop

Pre-approval gives you a competitive edge in hot markets like Greenville, Summerville, Wilmington, and the Research Triangle.

Benefits:

You’ll know your budget before shopping
Sellers take your offer more seriously
You can identify and fix financing issues early

🏠 Need a trusted local lender? Start with a quick pre-approval application here — we work with buyers across South Carolina and North Carolina.

🔄 COMING SOON: Local Credit Building Guide for Buyers

We’re building out a complete credit improvement guide for Carolinas-based homebuyers, including:

Secured card options
Rent-reporting tools
Veteran and active-duty credit tips
DIY vs. professional credit help

👉 Bookmark this post or follow The Local Ledger — we’ll notify you when that post goes live.

🧭 Next Steps

Follow these steps to improve your chances of mortgage approval in SC and NC — from boosting credit to getting pre-approved.

✅ Review your credit
✅ Reduce debt
✅ Build your savings
✅ Secure stable income
✅ Get pre-approved
✅ Let us help

🏡 Ready to Buy in North or South Carolina?

Looking to buy in NC or SC? We specialize in helping first-time buyers, veterans, and families relocating to the Carolinas secure the best mortgage options.

📞 Call us today: 843-640-1820
🔗 Start your mortgage application now

✅ Local expertise
✅ Fast pre-approvals
✅ Personalized guidance from start to finish