We all know how important it is to have good credit, especially if you’re looking to buy a house. A good credit score is your ticket to scoring low home interest rates and saving a whole lot of green. But what if you have no credit? Buying a home without credit is no easy task, but it’s certainly not impossible. If you’re one of the many home buyers out there who don’t have credit and cannot pay in cash, we’ve got a few options for you.
Consider Nontraditional Credit Options
Your credit score is one way to prove you’re a responsible human being, but it’s not the only way. Many Tampa Private Investors will look favorably at items such as letters of recommendation, utility bill receipts, and proof of paid insurance premiums. Sometimes offering a larger down payment in addition to these items will sweeten the pot for Investors.
Perhaps a Rent-to-own Arrangement?
If you can find a seller who’s highly motivated to sell, a rent-to-own contract can prove a mutually-beneficial agreement. With rent-to-own, an agreed-upon portion of your monthly rental payments will go towards the home’s purchase price. A rent-to-own arrangement can be a good alternative for a buyer without credit who is unable to secure a loan. If you do decide on a rent-to-own arrangement, make sure you first enlist a lawyer to examine the seller’s proposed contract.