Posted on: 29th Feb, 2008 04:41 am
I'm into buying my first home. But I'm just 23 years old and I have just started building my credit. I have a student loan paid off and a car loan too showing on my credit report but nothing more than that and perhaps it is not that could help me get a mortgage. I've paid my student loan last 6 months ago and then I took out the car loan rto purchase a car since I've to travel a long distance to office. Though my job is very secured and I've been there for 8 months now. Do you think this is less of work time for a first time buyer? My rent payments are getting higher so I just feel why not buy a home if I have to pay a high amount. Also the down payment, how much do I need to keep for it? Can I qualify for any grant or something like that? Thanks in advance
Hi Tim,
Welcome to the forum.
I think you can qualify for FHA insured loans. These are not score driven. I think you may qualify. I think you should shop a bit for lenders to take the right decision.
You can get a free consultation from the community lender at http://www.mortgagefit.com page. You will get a form here. Just need to feel the form and will get free consultation from the high ranked community lenders
Hope this helps you.
Feel free to ask if you have any further questions.
Best of luck,
Larry
Welcome to the forum.
I think you can qualify for FHA insured loans. These are not score driven. I think you may qualify. I think you should shop a bit for lenders to take the right decision.
You can get a free consultation from the community lender at http://www.mortgagefit.com page. You will get a form here. Just need to feel the form and will get free consultation from the high ranked community lenders
Hope this helps you.
Feel free to ask if you have any further questions.
Best of luck,
Larry
Hi Tim,
Past employment is something that lenders usually look at, especially how long you've been with one employer. But if you have 2 years of employment in all, you'd be able to qualify. If your job is secured and you have a good score, it will help you qualify for some of the best programs available.
It's ok if you have had just a car loan and student loan, what matters is, how you've paid them and what's your score. Get a free credit report from "annualcreditreport.com" and check out the score.
For down payment, you can keep aside cash worth 15%-20% of the purchase price. There are off-course down payment assistance programs available from the HUD and AmeriDream .
You might wish to check out some of the first time buyer loan programs at a previous discussion in our forums.
Regards,
Jessica
Past employment is something that lenders usually look at, especially how long you've been with one employer. But if you have 2 years of employment in all, you'd be able to qualify. If your job is secured and you have a good score, it will help you qualify for some of the best programs available.
It's ok if you have had just a car loan and student loan, what matters is, how you've paid them and what's your score. Get a free credit report from "annualcreditreport.com" and check out the score.
For down payment, you can keep aside cash worth 15%-20% of the purchase price. There are off-course down payment assistance programs available from the HUD and AmeriDream .
You might wish to check out some of the first time buyer loan programs at a previous discussion in our forums.
Regards,
Jessica
tim, it seems like you have taken the right steps to move toward homeownership. frankly, i would not be too worried about the minimal amount of credit that you have - if your payments have been on time you will have a suitable (or better) credit score.
renting is also part of building credit for yourself, and a lender will look at your payment record as a renter in addition to the car and student loans. it might be worthwhile for you to check into your credit scores at this time, so that you'll be better prepared for shopping for a mortgage and for a home as well.
as long as your scores are now below 620, you will qualify for a wide variety of products; and even if they were below that threshhold, fha (as noted by larry above) is a viable alternative.
as for grants, etc. that you might qualify for...most states have programs for first-time homebuyers (just use google and search for that), and there you will find more information.
i submit that you are ready to purchase (if your mind says yes, and your credit says yes; then the lender will likely say yes). go for it!
renting is also part of building credit for yourself, and a lender will look at your payment record as a renter in addition to the car and student loans. it might be worthwhile for you to check into your credit scores at this time, so that you'll be better prepared for shopping for a mortgage and for a home as well.
as long as your scores are now below 620, you will qualify for a wide variety of products; and even if they were below that threshhold, fha (as noted by larry above) is a viable alternative.
as for grants, etc. that you might qualify for...most states have programs for first-time homebuyers (just use google and search for that), and there you will find more information.
i submit that you are ready to purchase (if your mind says yes, and your credit says yes; then the lender will likely say yes). go for it!
Hey Tim,
Go to masteringmydebt.com and click on the debt repair calculators. They have a mortgage qualification calculator that is very helpful and free.
Best regards,
Jess
Go to masteringmydebt.com and click on the debt repair calculators. They have a mortgage qualification calculator that is very helpful and free.
Best regards,
Jess
You should have a two year work history. It is ok that you have been with your current employer for only 8 months as long as you have worked somewhere 16 months prior to that. College will count towards this 2 year work history requirement.
As far as down payment goes, it really just depends on your credit and income. You may qualify for 3% down.
As far as down payment goes, it really just depends on your credit and income. You may qualify for 3% down.
I did not know that college counted towards the requirement nice.
Hi freds,
Welcome to the forum.
It is really refreshing to see that new people like you joining this community and the community is getting bigger and bigger everyday. Hey you can introduce yourself and let others know about you at http://www.mortgagefit.com/introduce-yourself.html
While you are participating here and helping people, you can also earn some $$$ :), Isn't it great.
Best of luck,
Larry
Welcome to the forum.
It is really refreshing to see that new people like you joining this community and the community is getting bigger and bigger everyday. Hey you can introduce yourself and let others know about you at http://www.mortgagefit.com/introduce-yourself.html
While you are participating here and helping people, you can also earn some $$$ :), Isn't it great.
Best of luck,
Larry
tim, that you have been in school rather than working isn't equal to work, but the vast majority of lenders will not hold to that archaic 2 year requirement when you've been in college.
as i noted above, i think you would be a viable candidate for a mortgage now...i noticed that i said "as long as your scores are NOW below 620" but i meant to say "NOT below 620" instead.
to reiterate, a score of 620 or more will afford you a variety of choices (at least it did a few weeks ago). below that threshhold, your best bet is fha.
i see no reason for you not to investigate your qualifications at this time.
as i noted above, i think you would be a viable candidate for a mortgage now...i noticed that i said "as long as your scores are NOW below 620" but i meant to say "NOT below 620" instead.
to reiterate, a score of 620 or more will afford you a variety of choices (at least it did a few weeks ago). below that threshhold, your best bet is fha.
i see no reason for you not to investigate your qualifications at this time.