I really want to buy a house as the property prices are still quite low in my area. However, my situation is a bit unique. Please tell me when you think I can apply for a mortgage.
Job History
2009- Graduated from law school
2009-2010- Had a job and was self-employed
2010-2012- Went back to Grad School
2012-now- Got a job at a non-profit, related to law school and grad school work, also worked as selfemployed freelancer.
2013- Became a FT freelancer (related to what I studied)- self employed
Credit
I recently paid off all of my credit card balances so I have $0 revolving debt. I have $200,000 in student loans. SIGH! I currently pay about $600 a month, but one is in deferment, coming out in July. I think my payment will be $1500 at that point. I also have no car loans. I am thinking about waiting until I buy a house if I can get a house soon. My credit scores were all abt 680 before I paid off my debt. I was at 80% utilization so the Myfico estimators say I will be about 740 once they all update. I have no baddies.
Deposit
I have about $30,000 for a deposit and closing costs
Amount of loan
I would like to purchase a house that costs around $100,000-$150,000.
Income
My tax return for 2012, I made $38,000. This year I am on track to make $100,000 (I've already made more than I made all of last year).
So when do you think I can apply for a mortgage? I have moved back home so that I can save up even more money for the house but am getting fed up of the 'rents, lol. I know the self-employed part is the bit that is going to complicate things for me. I'm not really sure where to go from here. Also, if I have to wait a year or two, should I just buy the house in cash if I am able to? Do you think I can get a mortgage anytime soon?
Thanks!!
Starting Score: TU- 682, EQ- 698, EX- 713
+1, and consider getting on an Income Based Repayment (IBR) as those student loans are going to impact your DTI. But given the amount of income you make plus the very reasonable home price, I foresee your loan having no issues. The IBR program is more so to get your payments to a reasonable amount to free up extra cash flow so that you can enjoy your new home more.
Your credit looks good and employment history is fine given that you worked and are working in an area related to your field of study.
Your credit looks good and employment history is fine given that you worked and are working in an area related to your field of study.
Last App: 4/5/13 Gardening until July 2014
I am in Florida.
When do you think I can apply for a mortgage? do I have to wait because I am self-employed soley now?
What until at least when your credit scores have updated to prevent a possible rescore...those are never fun. If you have the downpayment at that time, then you would be in a good position to apply.
Thanks!! I will try in 2 months once my scores have updated!
+1 :-)