Freelancers Can Apply for Austin Home Loans
I discussed the benefits of living in Austin for freelancers, but what about Austin home loans for these hardworking, self-employed folks? It can be a challenge to get approved for a mortgage when you don’t have a regular pay stub, but not impossible.
The IRS provides a way to prove your income to potential lenders for an Austin home loan with Form 4506-T, Request for Transcript of Tax Return. This handy form gives a summary of your income for up to the last four years. This allows Austin mortgage lenders an opportunity to get a better idea of your income earning potential. Freelancing can be feast or famine, so having a way to provide an overall picture is helpful.
Need a Good Credit Score for Austin Home Loans
Another way that self-employed members of the Austin community can get approval for an Austin home loan is to have a strong credit score. A FICO score in the 700s is going to help the approval process for the self-employed. Along with your income-earning potential, lenders need to know that you are credit worthy.
Down Payments Count for Austin Home Loans
Having money in the bank for a down payment is a good idea for a couple of reasons, and not just for the self-employed. A down payment of at least 20 percent of the home sale price 1) tells the lender that you are responsible enough to save money and 2) means that you won’t have to pay private mortgage insurance.
Having that kind of money in the bank is a nice thought, but not necessarily everyone’s reality. That is why it is important to find an Austin home loans lender that will listen to you and help your realize your dream of owning a home.
Freelancers Love Austin Home Loans
Austin is a great place to live and work, especially if your place of work is your living room. Having a piece of Austin to call your own is well worth it and the professionals at Leader1 can help you with your Austin home loans.