One of the common misconceptions these days among would-be home buyers is that securing a home loan is almost impossible and that even people with good credit scores are still being denied loans. Many believe that 20 percent down is a must as is perfect credit. And if you have a student load, forget it.
According to The Washington Post this is just not the fact. In fact it is now currently easier to qualify for a loan with standards now similar to the 1990s. With FHA financing a 3.5 percent down payment is required while Fannie Mae and Freddie Mac each have 3 percent plans, albeit with certain requirements. Currently the VA has a zero percent program.
It’s important to remember that the mortgage industry wants to make loans; that’s their business. However, borrowers can move the process along by being fully cooperative, supplying complete and accurate documentation as required. Be a full, active participant in the process and you’ll get your load.