If you are a home loan mortgage lender, determining whether or not a borrower is qualified is a crucial part of your business. There are often clear signs that can assure you that the loan applicant you are considering will be able to repay the mortgage.

The credit profile is one of the major factors that you as a home loan mortgage lender should consider. An excellent credit profile, which contains a history of timely repayment of debt and a credit score above 750, is a positive sign that the borrower manages debt well.

Consistent employment history is also a positive indication that the applicant is qualified. A steady source of income over time shows that the borrower is responsible enough to hold a position with a company. This also means that they will most likely continue to work and have the funds available to repay.

If the potential borrower has valuable assets such as significant savings (at least the first three months worth of mortgage payments), investments like CDs, or property, chances are they will be able to repay. These assets may be use to secure the loan, or the assets can be used to repay the loan in the event that the borrower loses their main source of income. Significant assets are like a backup source for repayment of a home loan.