3 Mortgage Obstacles You May Face, and How to Avoid Them01/03/2011 The toughest part of a home purchase is financing it. This is true for most everyone who buys a home. It can be difficult and expensive to secure the mortgage loan you need. The following three situations can make this even more difficult.
2. You’re selling off assets to secure the funds for the down payment. If you don’t have cash in the bank to make the down payment and you’re selling assets to get there, you’ll typically have to wait at least 60 days in order to assure the bank that the money showing up in your account isn’t from a dubious loan of some kind. If, however, you can show documentation to prove that you did in fact sell the assets, you may not have to wait. If you want the lowest mortgage rates, you’ll need to prove that you have cash reserves. 3. You haven’t had at least two years of stable employment. Lenders want to see steady income. If you’ve quit, been fired, changed jobs, or just started work within the past year and a half or so, you may not be able to qualify for a loan. This can be an issue when an individual moves into a new area and wants to purchase a home before finding employment. You may be able to qualify for an FHA mortgage in spite of this. If you’re a veteran and you qualify for a VA loan, the income requirements you’ll face aren’t as strict. If you’re facing any of these issues right now, be prepared to work harder to get the funding for your home. |
|
