Presently available is the City of Tampa (DARE) Program as well as other sources such as the DPA offered by lender Third Federal Savings & Loan. The Realtors’ Care Foundation might be another source of dpa as well as Hillsborough County if funds are available.
There’re different requirements for each program including eligible credit scores, savings, and Federal HUD and State income limits. For the moment, let’s concentrate on making sure that the basics when applying for a loan such as good credit scores, proper budgeting and savings are in good order.
If a collection debt is reported in any of the 3 credit bureau reports that is affecting your credit scores, the best and more efficient way to remove it is to pay it in full if the budget allows it. A settlement of the debt can also be negotiated with the collector (get the agreement in writing!!) but there might be tax implications if a settlement takes place.
On the other hand, if you do not agree with the collection reported, you have the right to dispute the debt and it’s recommended to do it with all three credit reports if all are reporting it.
It is always important to have as much savings as possible. You want to make sure that you have at lease 3 to 6 months worth of reserves. The amount will depend on your back-end ratio (monthly mortgage plus debt).
Although you have assistants to help with the down payment and closing cost, you will still need your (up-front fee’s) and your (lenders fee’s).
The purchase time line can vary household to household. To be mortgage ready you want to make sure you have; two years of employment history, a certain amount of reserves, a credit score that will suffice the loan product you want and a comfortable DTI.
Our credit builder loan is a zero interest loan with a built-in savings match component. The purpose of the loan is to aid in increasing the borrower’s credit score within the 12 month term.
As a social lender, credit score and other items found in a credit report plays a smaller role in our underwriting compared to a traditional lender. Our loan team takes a more holistic view of the applicant.
The most important criteria for us is whether or not the applicant is actively, and faithfully, participating in counseling sessions with our organization or one of our affiliate partners.
Our interest rates range from zero percent to 17.99%. Comparatively less than traditional pay-day loans.
We require you to go to counseling because for DPA they want to see you are actively participating in counseling, and only in your counseling sessions will you see if you have the qualifying factors/requirements DPA have.
If a student loan is in deferment or forbearance and the credit report payment amount is missing (or $0), lenders (most of the time and varies from lender to lender) calculate a qualifying payment by either using 1% of the outstanding student loan balance or a fully amortizing payment.
By general rule the ideal in FICO score is 670 and above, and this is the most use by lenders from Vintage score is 700 and above. These scores give you competitive rates and likely to be approved.
Some lenders can still approve you in lower credit scores but not that great rates.
No, when you apply for the down payment assistance you need to list the household members and their income. They consider everybody’s income.
No, clients are only required to take one out of the three workshops. Please note that you must attend both days for the 16hr workshop to obtain a certificate.
No, you can come as you are. We service anyone who needs assistance with budget, credit, building savings, and purchasing a home.
If you are legally married both people should attend the workshop.
- No more than 3 NSF (non-sufficient funds) in the last 3 months.
- No outstanding non-medical collection item that exceeds $10,000.
- Having 90% on-time payment history
- That you have a housing counselor
- Number of action plans completed
- Dollar amount of monthly budget whether it’s positive or negative.
