Even though many buyers have duo incomes they can use to purchase a home (theirs and their partner’s), this is not necessarily required. There are those who want to take advantage of current interest rates to purchase a house, and some buyers are trying to do it on their own. Even though it can be a challenge to buy a home with only one income, it is certainly not impossible. Here are several tips that can make it easier for everyone to afford a home.
Always Check Your Credit Score
If you want to buy a house on a single income, make sure you check your credit score first. Your credit score is a reflection of your financial health. The higher your credit score is, the better your chances of having your loan application approved. You can check your credit score for free once per year from any of the major credit bureaus. Knowing your credit score and correcting any inaccuracies on your credit report before you apply for a home loan can help tremendously.
Explore Government Loan Programs
Are you a first time home buyer? You should explore government loan programs. For example, you may qualify for an FHA loan, which could allow you to purchase a home for as little as 3.5 percent down instead of the standard 20 percent with a conventional home loan. Depending on your location, there could be other government loan programs that can make it easier for you to buy a house.
Ask For a Co-Signer To Help
Even if you plan on paying for the mortgage yourself, you may find it easier to purchase a house if you have someone who can co-sign for your loan. This is particularly helpful if your credit score isn’t quite high enough to qualify for a loan. As long as your co-signer has a solid credit score, they might make it easier for you to get approved. Furthermore, you might be rewarded with a lower interest rate than you could otherwise get on your own.