Are you out to buy your first home? If so, you will need to get a First Time Home Buyer Mortgage Loan.
There are a lot of options from which you can choose. You can get a conventional mortgage loan, an FHA home loan, if you are a veteran a VA mortgage loan or depending on where the house is located a USDA Rural Development loan.
Each mortgage loan has its own requirements and guidelines. They have different down payment amounts required, different debt to income requirements and other stipulations for approval.
The way your income is reported for taxes from your employer (W2s or 1099s) will impact your approval for home loan. The tax write-offs that you take on your income tax returns will impact the approval decision.
Your rent history, and proof there of, is very important in getting a First Time Home Buyer Mortgage Loan.
Today, FHA mortgage loans are very popular because they only require 3.5% of the purchase price as a down payment. Not too long ago an there were no credit score requirements to apply for an FHA home loan, but today you will need a 620 middle credit score to even be able to apply for an FHA mortgage loan.
Getting all your ducks in a row is very important before you apply for your First Time Home Buyer Mortgage Loan. Make sure you understand the documentation that you will need and that you will be able to provide that documentation before you even apply for your loan.
Talk with a mortgage loan officer and get pre-approved for your home loan before you even go house hunting.
There are still some 100% financing programs available. The USDA Rural Development loan is one example. There are also some down payment assistance programs available.
Speak with your local mortgage loan officer to see what is available in your state or city.
Read all the other posts on this site to gain more knowledge about what is needed and required for you to get approval for your First Time Home Buyer Mortgage Loan.
Best of luck to you and hope you enjoy your new home.