Hey RENTERS we have good news! Rental payments now to be included as part of the underwriting process!
What does this mean?
Did you know that effective Sept 18 Fannie Mae has allowed rental payment history to be included in the underwriting process. Essentially making it easier for renters to become homeowners!
Rent is most times the largest expense for families and history of paying it on-time will now be considered for credit worthiness. With Fannie Mae’s new guideline, any missed rental payment wont’ keep you from getting a mortgage. With what’s going on around us, this couldn’t have come at a better time.
“For many households, rent is the single largest monthly expense. There is absolutely no reason timely payment of monthly housing expenses shouldn’t be included in underwriting calculations,” said Thompson. “With this update, Fannie Mae is taking another step toward understanding how rental payments can more broadly be included in a credit assessment, providing an additional opportunity for renters to achieve the dream of sustainable homeownership.”?
Those you might have been previously rejected due to lack of credit history may have greater chances getting into their dream home.
If you think this will benefit you, reach out today and let’s hop on a call to discuss next steps!