RTOBroker.com - Helping Home Renters to Buy A Home
31 July 2012
If you have been renting for at least 12 months with an on time payment history you may be qualified to start owning a home. Don't keep throwing your money away on rent and paying your landlord's mortgage....start to own an build equity with our simple home financing and mortgage solutions.
Do you know there are a variety of home ownership options available and you do not need perfect credit to qualify. In fact most home lenders focus on your credit score but also place a great deal of importantce on your overall income, length of employment and down payment. There are several things you can do to increase the chances that your home loan application will be approved:
- Make sure you have an appropriate level of income to support the home you want to buy. Many lenders require you to pay less than 20% of your total income to housing related expenses. This means a salary of $100,000 would only allow you to pay up to $20,000 towards a mortgage payment, property taxes and insurance. For most homebuyers this would limit them to a mortgage of no more than $250,000-$300,000 before your down payment. If you apply for a loan of $400,000 and only make $100,000 you will may not get approved.
- Make sure you have an appropriate down payment. Minimum down payments start at 5% of the total purchase price and many lenders prefer to see a down payment of 10% or 20%. A good down payment can help lenders to look beyond a lower credit score or other credit issues.
- Reduce your overall debt payments such as credit cards, student loans, car loans, etc. While debt payments can help to increase your overall credit score lenders do consider all debt payments you make before approving any home loans. If you can reduce your overall debt payments you may qualify for a larger home loan amount.
If you are suffering from a very low credit score it would be wise to seek out credit repair or credit counseling before attempting to obtain a home mortgage. Most lenders will not accept credit scores below 580-600 in the current market although this may change in the months/years ahead.
Getting started is easy. Complete three simple steps to be on the path to owning a new home today:
- Scroll down and complete our pre-approval form. You will be contacted by our financing professionals if you appear to qualify for the programs we have available.
- Wait for a phone call (and/or email) from our financing professionals and please return the call or email promptly in order to facilitate your new home purchase.
- Provide all necessary information to our financing professionals in order to get your approval as quickly and efficiently as possible
Are you ready to get approved today? Complete our simple pre-approval form to get started without any costs or obligations. You will be contacted by a loan agent once your application has been received and reviewed.