Buying a home is one of the most cherished dreams of Americans. Many Americans want to have their own homes, but finance often restricts them from realizing this dream. However, there is hope for you, especially if you are a first-time homebuyer or haven’t owned a home in the last three years. Eager to know what that is? Well, the name of the loan is FHA home loans.
Guaranteed by the Federal Housing Administration and offered by the FHA-approved lenders, it is a special design for loan programs for first-time homebuyers or for the ones who haven’t owned a home in the last three years. If you are a low to medium income group home buyer and looking for a home loan with a lenient requirement, then it will be an apt choice for you. Whether you want to get a home loan approval with a low down payment or credit score, you can go for this.
But you have to be careful when looking for FHA government home loans bad credit in Texas and avoid these mistakes.
- Not saving anything for the down payment
If you have a low credit score and you have not saved anything for the down payment, then it is a grave mistake that can stop you from getting the loan approval. Your down payment is the primary payment for your home. The hefty the amount, the lower you need to borrow. Consider an example, there are two borrowers, one comes with a low credit score and a zero down payment while the other one with a low credit score and a decent down payment; now, who do you want to choose. Obviously, the one, who is ready to pay a decent down payment. This is what your lender also thinks. So, save for the down payment. And if it is not possible, then opt for Down Payment Assistance Programs and arrange the amount.
- Opting for any general lenders
Your friend told any mortgage lender offers FHA loans, and so, you have decided to apply for the loan to any such lenders. It is another mistake you are going to make. Any random lenders don’t offer FHA loans. It is offered only by the FHA-approved lenders. Besides, the lenders who are not the FHA-approved, can’t guide you properly. And as a result, you may make several mistakes. So, be careful, and choose only the FHA-approved lenders.
- Not coming with the documentation
Many homeowners make another mistake by not coming with the general documents. But you should not make this mistake. If you will not submit the general documents, such as the Social Security Number, the history of your employability, etc. you may not get the approval. So, check the documents that you need for the loan, arrange it, and then apply for the loan to ensure easy approval.
Getting an FHA home loan approval with a bad credit score is not impossible when you steer clear of the above-mentioned mistakes. So, save yourself from these mistakes to get approval and fulfill your dream of homeownership.