Friday, July 6, 2018

3 Factors That Should Not Be Allowed To Keep You From The Home Of Your Dreams

Life is hard on us all, and in these fast moving and ever changing times, it’s more important than ever
to have a place where we feel safe and at peace. In a capricious economy, an uncertain job market
and an era where we feel more unsure of ourselves than ever, the home takes on a new and increased
importance. Our home is our sanctuary, it’s the very physical embodiment of calm, relaxation and
serenity. Unfortunately, it isn’t always easy to feel at home when we’re… At home. If you’re one of the
many people who’s dependent on the rental market, you’re likely getting tired of the traps and
prohibitions that renting imposes upon us. Landlords increase our rent with little notice, knowing full
well that there’s someone out there desperate enough to pay it. We’re unable to make our mark on the
property in any real or lasting way and some landlords won’t even let us hang our artwork on the walls.
It can certainly be frustrating, especially when our nesting instinct makes us yearn for a place that’s
well and truly ours. A place we can decorate, renovate, improve upon and make truly ours. But even
members of generation rent who feel forever locked out of the housing market are not without options.


With the right help and knowledge, even traditional obstacles to home ownership can easily be
vaulted...


A poor credit score


If you have a poor credit score, a mortgage can be harder to come by. While there are certainly
mortgage products on the market designed for people with poor credit ratings these should be
treated with caution. Often they will require a much larger than average down payment and the
interest rates will be unusually high. This means that your monthly repayments will be higher and you
won’t have as much equity to show for it.


Thus, it behoves you to find out whats a good credit score and work towards it. If your credit rating is
poor a consolidation loan may be invaluable. Not only will it make your debts much easier to manage,
it will also improve your credit score. When you take out a consolidation loan, all of your debts are
essentially paid off and replaced with a single new debt.


Self employment


It’s a common misconception that self employed people are unable to get mortgages. Since more of
us than ever are making our money in the gig economy, it’s important to set the record straight. Self
employment doesn’t necessarily have to be an obstacle to getting a mortgage, although it’s arguable
that it is made a little harder. Most lenders will insist that you provide at least 2 years’ worth of accounts
for your business. Some may also require proof that you have further work lined up in the future. In
theory, however, self employed people have access to many of the same mortgage products as
salaried workers.


Lack of employment history


Gaps in employment history are anathema to some mortgage lenders, but just because one lender
turns you down on this basis does not mean that all doors are closed to you. Usually, if you are able to
provide a written account for any gaps in your employment history (travelling or engaging in voluntary
work for example) and can provide evidence, a lender may well show leniency. At the very least it’s
worth shopping around.

Owning your own home may be harder than it was 15 years ago, but it’s still an achievable dream.

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