Qualifying for a Home Loan May be Easier than You Think
Having a low credit score, for whatever reason, can create problems for any person when it comes to making significant life choices. A prime example of this involves purchasing a new home, and it can be really frustrating for someone who’s looking to put down new roots, whether it’s a first-time home purchase or not. Many traditional home loans require stellar credit, which can make the process difficult for those who may have simply gone through a rough period of time.
For many people today, bad credit may not be a result of poorly managing funds. Perhaps you were laid off from work, but now you’ve found a new job at a fantastic company. This doesn’t change the fact that during your layoff, you have been unable to make a car payment, or perhaps your credit card balances grew significantly. Regardless of what happened, your credit report has suffered. Maybe poor health prevented you from working, but now you’re fine and back. The possibilities are endless, but none of these variables mean you will be irresponsible with a home loan.
Everyone deserves to be able to buy a home that they can call their own.
Thankfully, even prospective home buyers with less than perfect credit have options. A fantastic one is an FHA loan.
These loans are ensured by the The Federal Housing Administration, helps lenders offer better rates and more competitive closing costs, even for those who’s credit isn’t perfect. When it comes to getting approved for one of these loans, more is considered than just credit score. Payment history over the past 12 to 24 months is examined, and borrowers even have the opportunity to speak with the underwriter prior to approval or denial, so they can explain their personal situation in detail.
When it comes to purchasing a home, whether it’s with an FHA loan or another type of product, research and investigation are key first steps. If you’re interested in learning more about your options, you can check out the information we’ve provided about FHA loans, as well as other options first-time home buyers and current homeowners have.
Everyone who works hard and pays their bills on time should have the opportunity to buy a home, even if there was a time in which a person’s credit may have taken a hit. If you’re interested, be sure to take this opportunity to research your options. After that, feel free to reach out to us with any questions you may have. We’re proud to provide obligation-free, no cost consultations for each and every one of our customers.