Second Time Home Buyer Loans
If you are looking to purchase a home, and are not a first time home buyer, we will guide you through the steps of buying your next home. The process will largely depend on whether or not you still own a home or not. If you do not currently own a home, your eligibility for various loan programs will depend on how long it has been since you last were a homeowner. If in fact you do still a home, the determinants will be if you intend to keep your current home, or if you plan to sell it, and if the new home will serve as your primary residence. A whole different scenario would be if you are looking to buy a second home, vacation home, or an investment property, this will require a different loan approval process.
The best way to learn about what you will qualify for and to learn about our loan programs for second time home buyers is to request a free consultation and speak with a home loan specialist. Each borrowers situation is unique from the next so it is best for us to learn about what you are looking to accomplish and what your current situation is. We will simplify the process and help you understand what your best options are.
Loan Qualifications and Approval Process
The loan qualifications and approval process for non-first time homebuyers, including second time homebuyers is almost the exact same as it is for first time homebuyers. The only difference is the potential impact that a mortgage on your first home could have on qualifying for a second home (being that it will influence your qualifying debt-to-income ratios). If you do not owe anything on your first home, or have already sold it, than it should not have any affect on getting approved for a second home. This is assuming that your purpose for a second home is to have it be your primary residence, and that if you have not already done so that you plan to either sell or rent your first home.
If you are looking to buy a vacation home, investment property, or rental home than this creates a unique situation compared to the aforementioned scenario. Assuming you still do have a mortgage on your first home, you must have qualifying debt-to-income ratios after factoring in the mortgage on your first property and the prospective second. If there is not a mortgage currently on the first than it will not have any effective on your debt-to-income ratios.
FHA Loans for Non-First Time Home Buyers:
The Federal Housing Association (FHA) does offer programs to non first time buyers (or anyone who has owned several homes in the past). FHA buyer financing is only available for those looking to buy a home as their primary residence though. So if your second home is intended as an investment property or vacation home you will not be eligible for a FHA loan.