6 Tips for House-Hunting While Self-Employed
CMS Mortgage Solutions Inc.
CMS Mortgage Solutions Inc.
Published on March 3, 2023

6 Tips for House-Hunting While Self-Employed

House-hunting can be a daunting experience for self-employed individuals, as they face unique challenges when it comes to qualifying for a home loan and finding the perfect house. While self-employment brings many advantages, it can also make navigating the often tricky process of house-hunting more difficult. Fortunately, there are steps self-employed people can take to make the process smoother and more successful. In this article, we'll look at six essential tips that self-employed individuals should consider when house hunting. From budgeting wisely to building credit and seeking preapproval, these tips will help self-employed individuals find their dream homes with fewer headaches along the way.

Verify my mortgage eligibility (May 24th, 2024)

1. Budget Wisely: Self-employed individuals should start their house-hunting journey by carefully budgeting for their new home. This includes determining exactly how much they can comfortably afford to spend each month on mortgage payments, as well as estimating other costs such as property taxes, insurance and repairs. It's also a good idea to set aside extra money in case of unforeseen expenses or changes in self-employment income.

2. Build Credit: Before buying a home, self-employed individuals should work on building their credit score. A higher score will make it easier to qualify for better mortgage rates and terms when the time comes to apply for a loan, so self-employed people should be sure to pay bills on time and keep credit card balances low.

3. Seek Preapproval: Self-employed individuals should apply for a preapproval from a lender before beginning their house hunt. This will help them determine exactly how much they are eligible to borrow and give self-employed people an edge in negotiations when it comes time to make an offer on a home.

Verify my mortgage eligibility (May 24th, 2024)

4. Look Beyond Traditional Lenders: Self-employed individuals may want to consider seeking financing through alternative or private lenders, as these lenders often have more flexibility and can provide self-employed people with creative loan solutions that traditional banks do not offer.

5. Shop Around: Self-employed individuals should shop around for the best mortgage rates and terms before settling on a lender; this will help self-employed people get the most for their money and save time in the long run.

6. Get Professional Advice: Finally, self-employed individuals should consider seeking professional advice from a mortgage broker or other knowledgeable individual to ensure they are making smart decisions when house hunting. A professional can provide self-employed people with tailored advice on how to navigate the house-hunting process and secure the best loan terms possible.

By following these six tips, self-employed individuals will be better prepared to tackle the often daunting task of house hunting without running into too many surprises or obstacles along the way. With some careful planning and research, self-employed people can find their dream homes with fewer headaches and more confidence than ever before. Good luck and happy house-hunting!

Show me today's rates (May 24th, 2024)
CMS Mortgage Solutions Inc.
CMS Mortgage Solutions Inc. Virginia Beach
Click to Call or Text:
(757) 558-2603