How do you know your smartest path?
Lots of people want to be homeowners. The problem is, if you don’t qualify now, it can be really hard to see how to be a homeowner due to many factors – shifting interest rate landscape, housing price fluctuations, etc.
Many people feel hopeless due to the murkiness of it all. They think the opportunity will just pass them by.
But, I discovered a way to clearly see homeownership in your future, wherever you are today financially, and whatever size house you need.
Here’s what I discovered: 62% of all home loans are backed by the government and their qualifications are known. The qualifications are known because the government has set rules in order to back them, of course. And there are six types of loans that you can qualify for. They are Conforming loans, FHA loans, VA loans, USDA loans and Non-Conforming loans.
Each type of loan has a known mix of credit score, income, debt, and housing costs needed to qualify. The mix is expressed in a formula called the “debt-to-income ratio.”
I’ve identified a way to let anyone configure their own path to homeownership by:
- Knowing the mix of things you need (income, debt, house price, housing costs, income, credit score) for each of the six types of loans,
- Choosing one of them as your target,
- Finding an easy way to configure how to get to your target from where you are now – my Smart Goal tool,
- Identifying realistic goals for the levers that you have available: credit score, income, debt, house price, etc.,
- Creating a solid path, and the smartest path for you to become a homeowner.
It’s called The Formula.