Qualifying for a mortgage can be more complex for someone who does not have pay stubs and a W2 form to verify consistent income. If you’re an entrepreneur with your own business and fall into this category, don’t worry—there are loans for you. You just need to know how to navigate. I asked RPM’s EVP, Julian Hebron, to explain how specialized loan products serve the specific needs of self-employed home buyers.
The concept of home is special to each of us in our own way, so shopping for a home can be emotional. Once you connect with a home that’s just right for you, emotions can run hot because that’s when you need to get the seller to accept your offer.
Fannie Mae recently announced changes to conforming loan guidelines and all of the updates are potentially very good news for borrowers. In fact, a recent Forbes article stated that “mortgage financing will become more available to more home buyers as a couple of game changing underwriting guideline enhancements come online.” It’s important to understand what has changed and what it means in terms of qualifying for a mortgage. Here are some highlights:
With student loans and credit debt at an all-time high, many first-time home buyers wonder if they’ll ever accumulate enough money to meet their down payment. Fortunately, there are ways for cash-strapped borrowers to bridge the gap. Here are some options to consider:
Recent policy changes from FHA, Fannie Mae and Freddie Mac are intended to make homeownership a more attainable goal for first-time homebuyers. What are the changes and what difference will they make? For those planning to enter the housing market for the first time, the right opportunity may come sooner than expected due to more favorable guidelines and lower costs.
As kids, there are some things we all learn while we’re growing up:
• Never drink soda after you eat Pop Rocks.
• Cracking your knuckles will give you arthritis.
• You’ll catch a cold if you go outside without a jacket.
• It takes a 20% down payment in order to buy your first home.
You have money saved, a good job and you’re tired of paying rent. It’s time to buy a home. Now what? Where do you start? You are taking on what will likely be the most important financial commitment of your life and it’s not as easy as buying a new pair of jeans. You can’t take it back if it doesn’t fit.
If you follow the news surrounding the housing market, you know that the reluctance of millennials to purchase homes has been a contributing factor for holding back economic recovery. New to the world of real estate, millennials face financial challenges that are magnified by factors such as student debt, a tough job market and a lack of credit history to qualify for loans. The vision of a dream home is often more grand than their budget reality.