Do you need an Alamo home loan? Buying your dream home is possible through home loans, but it can be quite challenging for self-employed individuals. It’s hard to get a mortgage because of the requirements needed to qualify. Additionally, some lenders don’t see individual contractors as ideal borrowers because of variables like income flow and credit scores.
Some lenders prefer to work with traditional employees because they can easily verify if the borrower has a steady income to pay for the mortgage. So, unlike traditional employees, self-employed individuals may have a harder time applying for a loan to buy their dream home.
Luckily, there are other options for self-employed individuals to get home loans easily. If you would like more information about the options that might work best for you, the best way forward is to contact a qualified mortgage broker who has experience working within the region you’re searching in. Below are the possible loans to apply for as an individual contractor:
Get a Joint Mortgage
One of the possible options that you explore is to apply for a joint mortgage. This is a loan between two people where your co-borrower is an individual who can provide essential documents such as W-2. You can ask a friend or close family member to apply for a joint mortgage with you. The one drawback here is that whoever co-borrows with you will be on the line for the payments should you be unable to make them.
As a self-employed individual, you can also get your home by applying for FHA loans, or Federal Housing Administration loans. To qualify for an FHA loan, you don’t have to be a high-income earner, and you also don’t need to have a high credit score. With an FHA loan, the down payment is also usually lower than with a conventional loan.
To qualify for an FHA loan, there may be certain requirements you must meet. Speak to your mortgage broker to learn more about whether you qualify.
Contact a Mortgage Broker
Securing a mortgage can be time consuming and stressful, no matter the circumstances. When you are self employed or have nontraditional employment, it can be even more difficult to navigate the requirements, options, and timelines of the various mortgage options available. The first step is to figure out what the best route is for your mortgage loan. The next step after that is to figure out what you need to do and when. You will need to pull certain information and documents in order to move forward through whichever option you choose to pursue. For each part of the process, a mortgage broker can guide you through the steps needed to be taken. They can help you to find the best option for you and can guide you through the process of securing it – making it as easy and quick as possible.
Do You Need an Alamo Home Loan?
If you’re looking for a mortgage broker in your area, contact The Mortgage Genie by calling (925) 648-0981. With decades of experience and expertise, our team can help you to find and secure the right Alamo home loan for you.