King County will unveil how much your property taxes are for 2019 on February 15, the day after Valentines Day. <3
If you recall last year, many were stunned to see just how much their property taxes jumped. Our property taxes increased roughly 27% just last year alone!
If you are in the process of buying or refinancing a home, you need to be aware of changes to the property taxes if the transaction is closing around February 15, 2018 as this could potentially impact qualifying for the mortgage since it will most likely mean an increase to the total mortgage payment. This is especially true if your debt-to-income (DTI) ratios are anywhere near the limits for qualifying.
Once the property tax amounts are released, lenders have to use the new (most likely higher) amount. If the proposed mortgage payment is higher due to the property taxes and it causes the debt-to-income ratios to exceed underwriting guidelines, a once pre-approved mortgage could become disqualified. If you’re using conventional financing, you might be able to switch to an FHA mortgage in this event depending on the loan amount and your personal scenario.
If I can be of any assistance with your home buying or refinancing needs for homes located anywhere in Washington state, please contact me!
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