Home & Garden

If you can afford to rent, you can probably afford to own


The cost of renting in many areas is greater than the cost to buy, including in Southern Lane County. Some may say that mortgage loans are impossible to obtain without perfect credit and 20 percent down. But do you want the real truth?
Read on and we’ll cite the three basic factors for qualifying for a home loan.
Income: If you have a job or steady source of income you’re off to a great start! If you’re already able to pay your rent on time each month, this could actually be easier than you might think.
Assets: You rarely need a 20-percent down payment, in reality, there are many programs that will work with 5 percent, 3.5 percent and in some cases, even zero down.
Also, closing costs can sometimes be paid by the lenders, sellers, or come from gifts or grants. So if you think you’re out of luck just because you don’t have tons of cash, no worries! Chances are still good that there’s a solution that may work for you.
Credit: If you pay your bills on time and have avoided major issues like bankruptcy, foreclosure, short sale, or judgments, it’s likely your credit is in good shape. Requirements will always vary, but there can still be reasonably flexible loan options such as FHA loan guarantee programs.
That’s it. These three items are the fundamentals of mortgage lending. Exceptions will exist, but don’t be fooled into thinking the process is impossible. For those who work and pay their bills, there may not be a whole lot standing in the way of homeownership.
Reach out now, and Finance of America representatives will be happy to help.



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