The benefits of owning your own home are plentiful, especially for a single mom. Furthermore, a good credit score is essential for qualifying for a loan, but maintaining a clean credit history can be tough on a single income. If your goal is to qualify for a loan and your credit score is lower than it should be, credit report repair should be a priority.
The first order of business to repair your credit score is to ordering a free copy of your annual credit report. Contact www.annualcreditreport.com, their phone 1-877-322-8228. Review your credit report and if you notice inaccurate information and take measures to dispute it. Every individual is protected under the Fair Credit Reporting Act, which means (among other things,) that the consumer credit reporting agency must remove inaccurate information from your credit report, and once they do, you will see a credit score increase.
Opportunities for single mothers who can’t qualify for a conventional loan include:
The Housing and Urban Development program provides opportunities for families who may not be able to qualify for a conventional loan. The loan is backed by the government, who will guarantee part of the loan if you are unable.
Single mom’s can also qualify for the Housing Choice Vouchers Program if they fall in a lower income bracket. The vouchers are used to assist mortgage payment and the program is managed on a state-by-state basis. Also, there are various state-specific programs which may offer aid for down-payments on homes for first-time homebuyers.
Finally, some credit unions or banks may have special programs for first-time homebuyers.