Owning a home is the epitome of the American dream, but if you have bad credit or no credit and can’t get approved for a loan, you may think your dream of buying a home is out of reach. But SWE Homes, with homes for sale in both Texas and Georgia, makes it possible for those with challenging credit to own a home without having a good credit score.
While they don’t look at your credit score when considering you for owner financing, they do look at other factors in your credit and pay history. Here are a few tips to keep in mind before you purchase a home:
Stay On Top Of Bills: To be approved for owner financing, you have to prove that you’ve consistently made timely rental payments for the past 12 months and that your monthly debts don’t exceed 43% of your gross monthly income. They’ll need to make sure you can qualify with your monthly debt like your car payment, child support, and any other installment loans on your credit report.
Save Up For A Down Payment: Once you get pre- approved for an owner finance loan, you will be able to shop around for a property in your price range. Once you find the property of your choice, you’ll be required to make a down payment. Other expenses you’re required to pay at closing are the first year of insurance, $99 to record the deed and two months of property tax and insurance escrow.
Gather Important Documents: SWE Homes recommends to get a pre-approval from our loan department, but is not required. Important documents include: 2 yr. employment history, most recent 30 day pay stubs, 2 yrs federal tax returns (1040’s, W2s, or 1099s,) and most recent 3 months bank statements and proof of business income for self-employed borrowers. Make the process smoother by gathering these documents ahead of time.
SWE Homes is dedicated to helping you find—and afford—the home of your dreams. For a list of homes for sale in your area and more information on their financing services, visit their website, or call them at (713) 413-1000.