Home Buying Info for Lower-Income Single Parents: We Can Help!
A permanent home for your children is possible, even if you’re a single parent with limited income. Home Buying programs for low-income borrowers make it easy for single parents to get a home loan. “Low-income” can vary depending on the area. So even if you think you don’t meet the terms, it doesn’t hurt to apply – you just might! Single parent home buying is entirely possible.
Find out the basics of getting a low-income home loan below and call our office if you have any more questions –we’re here to help!
Low-Income Loans for Single Parents
Low-income home loan programs are not just for single parents, but they have income limits that make it easy for a single-income family to qualify.
The U.S. Department of Agriculture (USDA) and the Federal Housing Administration (FHA) are two types of low-income home loans. A USDA loan has a zero-down payment option. You may want this kind of loan if you don’t have money for down payment. An FHA loan asks for a 3.5 percent down payment, but the guidelines are more flexible.
State and local agencies also have programs! Some have a low-interest rate and others can help you with your down payment. Contact us for more info about programs in your area.
What about credit?
Bad credit or no credit history, especially after a divorce, is a problem for many single parents. But credit troubles are usually no trouble at all with a government-backed loan like a USDA or FHA. These loans are more flexible when dealing with bad credit.
Even if you have a bankruptcy or foreclosure, it’s still possible to get a home loan with a mortgage payment you can afford. If you have no credit, an FHA or USDA let you show “proof of credit history” with your regular payments like rent, utilities, and insurance.
Single Parents as First-time Homebuyers
Here’s another plus! Some of the best deals for home loans are given to first-time homebuyers. Even if you owned a home with your spouse in the past, you might still be able to get a first-time home loan. Call to learn more!