Fulfilling the duties as a single mother isn’t easy, with tons of responsibilities lingering on your shoulders all the time. You not only have to look after your kids but handle all the financial matters. As a single mother owning a home may seem impossible. But in actual it’s not. If you don’t have a partner, that doesn’t mean homeownership is something you can’t have. This article will guide you on how to get a home loan as a single mother so you can spend time with your children in your own home.
Fulfilling the duties as a single mother isn’t easy, with tons of responsibilities lingering on your shoulders all the time. You not only have to look after your kids but handle all the financial matters. As a single mother owning a home may seem impossible. But in actual it’s not. If you don’t have a partner, that doesn’t mean homeownership is something you can’t have. This article will guide you on how to get a home loan as a single mother so you can spend time with your children in your own home.
Making Arrangements For Down Payment
Arranging a down payment is very easy when money is coming from two hands. But it can be very difficult for single mothers. Luckily if you’re a single parent, a down payment assistance program can help you a lot.
Various types of down payment assistance programs are available such as:
- First Home Mortgage Program (CA)
- State Housing Initiatives Partnership Program (FL)
- MyHome Assistance Program (CA)
- Orange County Down Payment Assistance Program (FL)
Home Loan Option For A Single Mother
If you are a single mother, we would recommend going with a government-back loan option. Here are some home loans that you can avail as a single mother.
FHA loans
These types of loans are backed by FHA (Federal Housing Administration). If the borrower cannot pay back the loan, there are lesser chances that the approved lenders will lose money. This makes it easy for single moms to get a loan. The best thing about FHA loans is that they only require 3.5 % down payment.
Below are some of the requirements you need to fulfill to qualify for the loan:
- You’ll need to have a credit score of at least 580
- Down payment of at least 3.5 percent is required
- Prof of employment and steady income
- Payment for private mortgage insurance
USDA Loan
If you are looking for a home in a rural community, a USDA loan can be of help. The good news is that this loan doesn’t require any down payment. Here are the eligibility criteria.
- The location of the house must be in a suburban or rural area
- Applicant must be a U.S. citizen or have permanent residence
- Proof of steady income over the past 24 months
- Minimum credit score of at least 620
VA Loan
These loans are for vets or service members. You can also qualify if you were married to a veteran who died while serving. These loans are backed by the VA (Department of Veteran’s Affairs) and is an amazing option for a single mother since you don’t need to submit any down payment. If you meet any one of the following requirements, you’ll qualify for a VA loan.
- During wartime, you actively served for 90 days consecutively
- You served for at least 6 years as a National Guard
- The service member you were married to died during the duty or due to the injury inflicted while on duty
If you wish to learn more about home loans for single mothers, feel free to contact the experts at Red Door Funding. To get in touch, call 832-539-1099.