In 2006, when real estate began its decline, and the economy went south, millions lost their homes.  As time goes on, and the memory fades, many decide it’s time to get back into a home of their own.

If this is you, or you may be ready for a home in the future read on!  Real estate has bounced back, and so has the economy, making home ownership a very real possibility.

And here’s the path to your goal! 

1. Make sure finances are stable.  Lenders will be looking for why the previous home was lost.  They want to see long term financial stability.
2. Conventional financing can take up to 4 years.  Sometimes FHA or VA (if qualified) are a better mortgage route.  FHA has a 3.5% down payment, and if qualified VA offers 0% down payment.
3. If credit score is an issue start fixing now.  FHA requires a 620 credit score.  Make sure the information on your credit profile is accurate, and if not start fixing.  It is helpful if the loss of the previous home is the only negative on the credit profile.
4. Be prepared.  Lenders are going to want an explanation of what happened previously.  Be assured you’re not the only person who had hardship.  Loss of a job, needing to take less pay, loss of second income, divorced, additional expenses–whatever your reason–make sure it is clearly understood.
5. Documentation.  Once upon a time a buyer could bring cash to closing.  No longer.  All income and cash gifts must be documented.  Be ready to show where your income comes from.  Additionally, due to circumstance, be prepared to open up your expenses.
6. Start saving!  Save for the down payment and closing costs.  Lenders like to see financial responsibility, and that includes savings!

If, for any reason, not-so-ready is your conclusion after reading the above, but the interest to own your own home exists, we have other options available!  New programs are available in some areas–call or email today to find out more!