Saturday, February 20, 2010

How long until I can buy house?

I graduated college a year ago and have been working full time for a little more than a year. Is it feasible for me to buy a house now or should I wait longer?How long until I can buy house?
While you may be, as Dave says, okay with some lenders regarding length of time on job, there are also other factors - how have you handled your credit in the past, have you saved up enough for a deposit (3.5% for an FHA, 10 to 20% for a conventional, non-FHA), do you have enough for closing costs (figure 3 to 5% for closing), do you have an emergency fund (6 months of income/living expenses minimum).





Buying a house is a big step - you do not want to place yourself in the position of being house rich and cash poor which leads to other problems (over-extended on credit, etc.). Housing isn't going anywhere for some time - what is affordable today will be just as affordable tomorrow.How long until I can buy house?
talk to a couple of lenders. some want 2 years of earnings history in same industry. this is not a hard and fast rule so talk to more than one lender to get different opinions.
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