How to Get Approved for a Larger Mortgage

If you’re trying to get approved for a larger mortgage, here’s the simple truth: lenders want to know you can afford it. They look at how much you earn, how much debt you have, and how responsible you are with money. So, if you want to qualify for a bigger loan, you need to show them you’re ready. That means earning more, spending less, and keeping your credit in good shape.

In this guide, you’ll learn how to get a higher mortgage, what really matters to lenders, and the smart steps you can take to increase your mortgage approval amount—without feeling overwhelmed.

What Do Lenders Look at Before Approving a Larger Mortgage?

Before we dive into how to get a bigger loan, it’s important to understand what lenders actually care about.

1. Credit Score

Your credit score tells lenders how good you are at paying back money. A higher score means lower risk. If your score is above 700, that’s a good start.

2. Debt-to-Income Ratio (DTI)

This is the amount of debt you have compared to your income. The lower your DTI, the better. It tells lenders you have room in your budget for monthly mortgage payments.

3. Loan-to-Value Ratio (LTV)

This is how much you want to borrow compared to the value of the home. A lower LTV shows you’re putting in a solid down payment, which makes lenders feel more confident.

4. Income and Employment

Stable income and steady job history play a big role. Lenders want to know that your income is consistent and enough to support a larger mortgage.

How to Get Approved for a Bigger Mortgage

Now that you know what lenders look for, let’s talk about what you can do to improve your chances.

Increase Your Income

This is one of the best ways to qualify for a larger loan. You can:

• Get a raise at your current job
• Start a side hustle
• Add a co-borrower (like your spouse or family member) to combine incomes

The higher your income, the more mortgage you’re likely to be approved for.

Pay Down Your Debts

Your debt-to-income ratio matters a lot. If you have credit card balances, student loans, or car payments—try to reduce them. The less debt you carry, the more space you have for a bigger mortgage.

Improve Your Credit Score

Lenders trust borrowers with good credit. Here’s how to build it up:

• Always pay bills on time
• Don’t max out credit cards
• Check your credit report for mistakes and fix them

Even a small boost in your credit score can help you get better loan offers.

Save for a Bigger Down Payment

The more you can pay upfront, the less you’ll need to borrow. A larger down payment lowers your loan-to-value ratio and may help you avoid private mortgage insurance (PMI).

Get Preapproved

Getting preapproved means a lender reviews your income, debts, credit, and savings to give you a loan estimate. It’s not a guarantee, but it gives you a clear idea of how much mortgage you might get approved for—and helps sellers take you seriously.

You’ll need:

• Income documentation
• Employment records
• Bank statements
• Credit history

Cut Your Monthly Expenses

If your monthly bills are high, it affects how much loan you qualify for. Try to lower housing costs, avoid new loans, and stick to a clear budget before you apply.

Choose the Right Type of Mortgage

Some loans let you qualify for more even if your income or credit isn’t perfect. Explore your options:

• FHA loan – Great for first-time buyers with lower credit
• VA loan – For veterans and active military
• USDA loan – For rural and suburban homes
• Conventional loan – Best if you have strong credit and savings

Your lender can help you figure out which one fits your situation.

Ask Your Lender About Other Options

A good mortgage lender can help you explore:

• Fixed-rate mortgage or adjustable-rate mortgage (ARM)
• Refinancing options
• How to avoid PMI
• Creative ways to increase your borrowing power

Always compare offers from multiple lenders. Some are more flexible than others.

Quick Tips to Boost Your Approval Odds

• Build a strong savings account
• Don’t open new credit lines right before applying
• Create a monthly budget and stick to it
• Consider getting a co-signer if needed
• Stay at your job or field during the process

FAQs: How to Increase Your Mortgage Approval Amount

Q: How can I qualify for a bigger mortgage?

A: You can qualify for a larger mortgage by increasing your income, lowering your debt, improving your credit score, and saving for a bigger down payment.

Q: Does a co-borrower help?

A: Yes. Adding a co-borrower lets you combine incomes, which may help you get approved for a higher loan amount.

Q: How much mortgage can I get approved for?

A: That depends on your income, credit score, debt level, and loan type. You can use a mortgage calculator or speak to a lender to find out.

Q: Is getting preapproved necessary?

A: Yes. It helps you understand what you can afford and makes the home-buying process smoother.

Final Thoughts

Getting approved for a larger mortgage doesn’t have to be complicated. If you understand what lenders are looking for and take the right steps, you’ll be in a strong position. Focus on increasing your income, reducing your debt, and building your credit. And don’t be afraid to ask your lender for help or explore different loan options.

It’s not just about getting more money. It’s about making sure you can afford the home you want—comfortably and confidently.