Answers
Buying & Qualifying: Your Questions
Affordability, credit, down payment and the questions every buyer asks first.
The questions that come up before you ever make an offer — about what you can afford, what you need, and whether your situation qualifies. Start here.
Common questions
How much income do I need to buy a home?
There is no fixed income requirement — what matters is the relationship between your income, your debts and the payment. A lower-priced home with few other debts can be well within reach on a modest income. The honest way to know your number is to run your real figures with a lender.
What credit score do I need to buy a home?
Less than most people think. FHA loans start at 580 for 3.5% down (and 500–579 with 10% down), VA loans have no federal minimum, and conventional loans generally start around 620. A rebuilding credit history is not a dead end.
Do I really need 20% down?
No. VA and USDA loans allow 0% down for eligible buyers, conventional loans can start at 3%, and FHA at 3.5%. Twenty percent only matters because it is where conventional mortgage insurance drops — and even that insurance is temporary.
Can I buy a home if I am self-employed?
Yes. If your tax returns understate your real income, a bank-statement program can qualify you on 12 to 24 months of deposits instead. This is one of the most common situations we solve.
How do I know what I can afford?
Work backward from a comfortable monthly payment, not a price. Factor in the full payment — principal, interest, taxes and insurance — and keep reserves intact. A calculator gives you a starting number; a pre-approval gives you a real one.
What is the first step to buying a home?
Get pre-approved before you shop. It tells you your real budget and makes your offer credible to sellers. Everything else — the search, the offer, the closing — flows more smoothly once you know your number.
Can I get a mortgage with student loan or car debt?
Usually, yes. Those debts count in your debt-to-income ratio, but they rarely disqualify you on their own. The question is how much room is left for a housing payment, which depends on your income and the program.
What if I was turned down by another lender?
A “no” from one lender is not a “no” from the market. Different lenders use different programs and overlays. We routinely approve files others declined — especially for self-employed, credit-rebuilding and non-standard situations. Ask us before you give up.