Typically Fannie Mae will only qualify loans to borrowers with a of at least 620 according to all three major credit bureaus. If you find that your credit score is lower than this threshold, work on paying down your debt and making on-time payments to. • You cannot get your credit score from your credit report. However, it's important to routinely review your credit report, and check to see what events have negatively impacted your credit. Check out free websites such as Credit Karma to get a report. If you believe any of these reports are in error, gather all of the relative documents and write a letter disputing the charge to both the credit bureaus and the party that implicated you in the event (such as a lender or credit card issuer).

Verify income and employment history. Income is defined as taxable earnings. To verify income you will need to collect IRS W-2 forms for the past two years. Fannie Mae typically requires proof of at least two years of consistent employment, though not necessarily with the same employer. • Income is defined as taxable income minus deductions. This can be an obstacle for self-employed individuals or employees who are able to claim business-related deductions.

Playbill Template Illustrator Adobe on this page. Fannie Mae at Events Promoting industry dialogue at local and national events. Find the home buyer programs in your city and state. First time home buyer program, tax credits and grants are available to those who qualify.

Profits that are deducted will not count toward your income. Calculate your debt-to-income (DTI) ratio. To qualify for a mortgage loan, you must be able to prove that your income covers all of your monthly debt payments, including the proposed new mortgage payment, within DTI guidelines as set forth by Fannie Mae. • Fannie Mae uses two metrics to calculate debt-to-income ratio. The first is the ratio of income to the monthly housing costs, inclusive of principal, interest, taxes and homeowners insurance, which should be around 28% or less. The second is the ratio of income to these same housing expenses plus other obligations (credit cards, co-signed loans, and child support), which should be around 45% or less. Acceptable ratios do change over time.

Improve debt-to-income ratio. If you find that you do not meet the debt-to-income ratio there are a few things you can do to fix the situation. Essentially, you can either reduce your debt obligations or increase your income.

• If you make a larger down payment on the house, you can decrease your debt, allowing you to meet the qualifying ratio. • While it is hard to instantly increase your income, it might not be so hard to make your income look larger. If you find a co-signer for the loan, her income will be factored into the ratio as well. • If you find that you still cannot meet the debt-to-income ratio, you can renegotiate with the seller for a lower price. This might be difficult, but if the homeowner has struggled to sell the house, they might agree to a lower price. Meet homeowner obligations. Fannie Mae are designed for homeowners.