Some people do not earn enough money to buy a home, and this is most difficult item to correct. But it is changeable. A person can get a better job or seek raises by being a stronger employee; they can get a 2nd job or even start a supplemental home business. There are ways to maneuver for people with too little income. If they are on the border of income or just below it, a lease option may be what they need. That is leasing a home with an option to purchase it at a contractually specified time. If they are not ready at that time, it can be extended if both parties agree, or, they simply lose their option fee which is not that large, and, they are not obligated to proceed.
The next big block is income verification. But this is solve-able too. The loan people look for 2 years of employment to verify. If self-employed, then 2 years of IRS 1040 forms are used. If a person cannot produce the 1040’s, for whatever the reason may be, they may be able to be qualified based on their bank statement history over 24 months. As you can see, there are ways to work the issues, if you the buyer has the desire and the will to get into a home. Home ownership in America is based on desire, plain and simple. An easier road is to go rent an apartment or house and just not think about obstacles. But home ownership procrastinated or delayed can lead to other problems, such as rent increases or landlords selling homes out from under renters.
The last thing I want to mention is credit, credit scores and credit unworthiness. This may be the easiest block in buying a home to solve. Many credit issues can be changed in just a handful of months. Many people rely on Credit Karma to keep up on their scores. But Credit Karma lowballs your scores in hope that you will take out a higher interest credit card like Capital One. It’s a money maker for them and highly deceptive. Those are not FICO Scores they are quoting you, and FICO is the only scoring system that home lenders use.
Currently, my own Credit Karma score runs about 50 points lower than my FICO score. Imagine if that particular deception blocked you from buying a home in the past while housing prices continued to climb up higher and higher. A good house lender will run your credit for FICO scores and give you a true reading. Forget fearing inquiries on your credit, if you don’t do it often it is not that damaging. At times, one person may be score qualified and their spouse is not due to credit issues. Focusing on that other spouse’s credit scores is the answer especially if they have an income that qualifies the couple for more home and a higher price.
I realize timing is everything in home buying, and people may be holding off due to high prices of homes. But there may be a location or neighborhood that is still affordable for you and beginning to think about it and educate one’s self is the way to establish thought processes that can later bring the desired home ownership to pass. I will continue to share practical helps and ideas in upcoming blog issues. Knowledge is very powerful for consumers. If you’d like to discuss anything further with me about home buying or getting access to a competent and honest home lender, call me. 916-580-7235, Greg Nichols, MFN Realty.
There is no need to pay 6% when selling a home. Call us at MFN Realty today to discuss how you can save thousands of dollars on your home by allowing us to represent you, and still receive comparable service to firms charging 6%. MFN Realty is loaded with experience and marketing techniques and your home is well represented when you trust us to sell your home.
If you plan to sell your home, MFN Realty has been offering a discounted commission rate but still has all the services of any other firms who charge more. It is your choice, but you can save thousands of dollars with our firm. MFN Realty will have your back and we are experts at negotiating and we have several other ways to save you money too. But it is all the same service as any firm out there. Prices have increased greatly, and we at MFN know it, and it is time for you to keep more of your equity if you sell. Why pay the other firm so much more money?
Call us at 916-580-7235 to find out just how much money we can save you on selling your home.
Our firm covers Sacramento, Placer and El Dorado Counties including Sacramento, Roseville, Rocklin, Loomis, Granite Bay, Folsom, Elk Grove, West Sacramento, Carmichael, Citrus Heights, Fair Oaks, Antelope, Rancho Cordova, Arden Arcade, Natomas, Downtown Sacramento, El Dorado Hills, Cameron Park and other surrounding areas!
Broker - MFN Realty
916-580-7235 (Leave message or text if I am out!)
Disclaimer/Indemnification: This blog is meant for informational purposes only and is not meant to be advice for daily real estate practices. Readers using the materials and sources in this blog understand that the facts are shared as principles, and are not exact advice for specific persons or specific situations. The principles and notifications and facts shared in this blog are meant to raise awareness for consumers so that they may make decisions based on knowledge they obtain from many different sources including this blog. Readers agree to indemnify and hold harmless MFN Realty and Greg Nichols and any sources used from liability due to any decisions readers may make in real estate matters based on reading this blog. Readers need to seek out advice from their attorneys or from real estate brokers that they are in contract with who are acting as their legal agents.
MFN Realty - Greg Nichols - Broker - mfnrealty.com
A Licensed California Real Estate Broker #00632894
A Licensed California Real Estate Broker #00632894