Don’t expect the crazy loans that were available a few years ago, but you can expect it to be a bit easier to qualify for a mortgage loan.
Several lending companies are relaxing their credit score caveat if you have a healthy down payment. You also need solid, dependable income to qualify for a lower credit score friendly loan.
Some companies are also bringing back low-down payment loans. Some loans only require as little as three to five percent down. You will need a good credit score, and track record with paying debts. These programs don’t include the FHA loans which only require 3.5 percent down.
Stated-Income loans are making a comeback which will help perspective borrowers who are self-employed. These loans are not nearly as easy to obtain as they used to be. You will need a big down payment, and the rates are higher than more traditional style mortgage loans. It is believed that climbing rates are driving these relaxed requirements for obtaining a mortgage loan. As the rates slowly climb higher, it’s likely more lenders will relax their requirements for securing a home loan.
Ready to buy a place to call home? Call us! We would love to help all your real estate dreams come true.