Rental History. Make It Count!

By Author: West USA Realty of Prescott
Total Articles: 6
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Responsibility Counts. Reliability Counts. Now, RENT COUNTS!

That’s the latest from Fannie Mae (Federal National Mortgage Association), & Freddie Mac (Federal Home Loan Mortgage Corporation) who in conjunction with your favorite lender, are working hard to find ways to help make homeownership a reality for many first-time home buyers.

I often hear “I always pay my Rent on time, why can’t I use that as proof that I can pay a mortgage on time?” Well, now you can!

If you understood the assignment and pay your rent each month, Fannie & Freddie believe you are likely to pay your mortgage consistently, too. Their innovative technology gives mortgage lenders the ability to consider your consecutive monthly rent payments in determining if you qualify when you apply for a home loan.

Get recognized for your consecutive rent payments!

Have you been renting for at least 12 months, paying more than $300 per month in rent?

Your lender will use digital technology to identify recurring rent payments of at least $300 made from your bank account.

Have you made 12 recurring rent ...
... payments in a row?

To be eligible, you will need to have made 12 consecutive rent payments without missing a month. Please note that missed payments will not be counted against you.

Are you a first-time Homebuyer purchasing a primary residence?

To be considered a first-time homebuyer you must:

Reside in the property you are purchasing as your primary residence

And have had no ownership interest in a residential property during the three-year period preceding the date of the purchase of the property.

Do you have a Credit Score of at least 620?

You will need to have a minimum credit score of 620 to consider 12 months of consecutive rent payments in your mortgage evaluation.

If you answered “Yes” to these questions, Congratulations! You are well on your way to getting prequalified to purchase a Home! If you have a limited credit history, this enhancement could help you qualify for a mortgage whether your rent payments are reported to the credit bureaus or not.

Greg Riordan from NFM Lending is very excited about this opportunity to provide additional mitigation in credit for first-time homebuyers who may not otherwise qualify to purchase a home. “This allows for the creation of an additional trade line that gives extra advocacy for timeliness of good rental payment history” To make that verification even easier, Greg also recommends using one of the larger banks (Chase, Wells Fargo, One AZ Credit Union, etc…) to pay your rent since their software is more compatible with the automated software used to gather the information needed in the automated underwriting systems.

Regardless of the bank you use, if you pay to rent and you’re ready to take the next step and purchase your very own home, NOW IS THE TIME! Home prices are a little more relaxed, Home inventory is up, and Lenders are ready.

To learn more about Fannie Mae and making your rent count visit Make Your Rent Count - 12 months of consecutive rent payments can help you qualify for a home loan.

If you’re looking for a great lender to help you get Prequalified to buy your very own home, call Greg Riordan with NFM Lending (NMLS 832841) at 928-427-5156, or email gregr@nfmlending.com.

Christine Sirochman Realtor West USA Realty of Prescott

To learn more about the Prescott, Arizona real estate market contact Michael Eastwood CEO of West USA Realty of Prescott at 928-636-1500 or visit us at Prescott Arizona Real Estate Mike will introduce you to one of his professional real estate agents. If you like to search on your own our website has an IBX program to search for homes or stop by and visit us at West USA Realty of Prescott 231 N Marina St Prescott. AZ 86301. (Each office is Independently owned and operated) #Prescottrealestate #Prescotthomes #Prescottland #Prescottvalleyrealestate #Prescottvalleyhomes #Prescottvalleyland #Chinovalleyrealestate #Chinovalleyhomes #Chinovalleyland #Arizonarealestate #Arizonahomes #realestate #homes #prescott #chinovalley #Prescottvalley #buyers

West USA Realty of Prescott is a full-service Real Estate Company committed to our clients & work hard to achieve results for them daily in Prescott, Prescott Valley & Chino Valley area. West USA Realty of Prescott established in 2001 and serving to their client until now. West USA Realty of Prescott will develop a comprehensive sales plan for your house, land or other property. When you select a West USA Realty of Prescott listing Agent, you are in good hands with our five-star service program. Selling your home can be a complex process. Our seasoned listing agents will help you with the entire home selling process.