first time home owners loan from the bank. also being a waitress cant prove on paper actual income.
2006-06-27 08:36:39 · 6 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
If you have a decent credit score - you can go what is called stated income on the loan application.....Or you can go full doc - bu using 6 months bank statements to show income. But, If you have collections, and go FHA - collections and judgements have to be paid off. But there is help for you - ok. Talk with a Mortgage Broker in your area, and they can help you - you will need to be pre-qualified to look at a home. Lenders look at income for 2 years back - job time 2 years back, show proof of rental history for 2 years. Just DO NOT apply for any new credit cards or make a major purchase - since that will be considered a hard pull on your credit and pull your credit down.
If you go with one lender they pull your credit, than if they can not do it, you go somewhere else, and they pull your credit. You need to see a Broker, where he/she pulls your credit one time, and the lenders they use will use HIS / HER credit to qualify you...Decide the amount you are comfortable with for a house payment, plus taxes and insurance, and let the Broker know - and the realitor - you DTI (debit ratio) should not be over 50 percent. You can go up to 55 percent of your income with a sub-prime lender. Just depends on what you are confortable with.
2006-06-27 11:24:40 · answer #1 · answered by W. E 5 · 2⤊ 0⤋
It's possible, depending on how much you are borrowing compared to the value of the house. What the lender will probably want to do is have you pay off the debts, which means it will loan you the money to do so as part of the mortgage, and the settlement agent will write checks to those creditors and pay them off for you. But for this to happen, the loan can't be more than the value of the property. The downside of this is that you'll be paying off the mortgage company for those credit card debts for the next 30 years, or however long the mortgage is for.
2006-06-27 13:33:23 · answer #2 · answered by AnOrdinaryGuy 5 · 0⤊ 0⤋
as a rule of thumb, don't let your credit card balances exceed 40% of their limit.
also, don't close any accounts you have in good standing, unless you have an insane number of credit cards.
you want to show good payment history and money-management (that's where the credit limit balance comes in).
also, proving your income is a big bonus!
you should be fine, so long as you keep your payments up to date. also, keep in mind that your current payments you have on a monthly basis, such as car pymt, credit card bills, and other such liabiliteis wiegh into your income. if you have large montly payments on credit cards and can pay them down ASAP, this will help your debt-to-income ratio.
congrats though! you sound like you're on the right track to homeownership! good luck!
2006-06-27 09:08:55 · answer #3 · answered by thetoothfairyiscreepy 4 · 0⤊ 0⤋
Some debt is okay, they use a formula to calculate your income and debt. However, if you don't have tax returns showing your complete income, then you have other problems besides getting a home loan.
2006-06-27 08:41:30 · answer #4 · answered by kathy059 6 · 0⤊ 0⤋
You probably can. Go talk with the bank as they are the only ones that can let you know for sure. Expect that you will need a down payment, but there are ways around that also.
2006-06-27 08:40:20 · answer #5 · answered by Norm 5 · 0⤊ 0⤋
Have a look here.
2006-06-27 08:39:46 · answer #6 · answered by Anonymous · 0⤊ 0⤋