United Real Estate Partners
Scott Michael Guidry

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Today, we're diving into the world of mortgage loans and their credit requirements. Whether you're a first-time homebuyer or a seasoned real estate investor, understanding the various loan options available can make a significant difference in your home buying journey.

As a Licensed Realtor, I'm here to shed some light on the most common loan types and credit requirements you should be aware of. Remember too, some lenders offer grant programs which aid in the assistance of down payment and closing cost fees.



1. Conventional Loans: Conventional loans are a popular choice for many buyers. They are not insured or guaranteed by the government, making them a bit more flexible in terms of credit requirements. Typically, lenders look for a credit score of around 640 or higher, and a down payment of at least 3%. However, a higher credit score and a larger down payment can lead to better interest rates and lower mortgage insurance premiums. You do NOT need 20% down to buy a home. Grants are available for down payment assistance with some lenders. I always have lenders standing by to take an application.

2. FHA Loans (Federal Housing Administration): FHA loans are backed by the government and are known for their lenient credit requirements. If you have a credit score as low as 580, you may be eligible for an FHA loan with a down payment as low as 3.5%. For those with credit scores below 580, a down payment of 10% may be required. These loans are an excellent option for first-time buyers or those with less-than-perfect credit. I know of some lenders that go as far down as a 550 credit score for FHA as long as the borrower has the required down payment. Grants are available for down payment assistance. If you're unsure which is better for you, give me a call and let's get a plan.

3. VA Loans (Department of Veterans Affairs): VA loans are exclusively available to eligible veterans, active-duty service members, and certain members of the National Guard and Reserves. One of the significant advantages of VA loans is that they typically do not require a down payment, and there is no minimum credit score requirement. However, lenders may have their own credit standards, so it's essential to check with your lender for specific requirements. I do work closely with a few local, VA Loan Experts if you're in the need of a VA Loan Officer.

4. USDA Loans (United States Department of Agriculture): USDA loans are designed to help low- to moderate-income homebuyers in rural areas. While credit requirements can vary among lenders, a credit score of at least 620 is generally recommended. USDA loans also offer the benefit of no down payment, making them an attractive option for those who meet the location and income criteria. To me, a USDA loan is a win/win situation because a buyer gets to the closing table with little to no money out of pocket as long as your Realtor is able to get the seller to give enough concession to cover the buyer's closing costs and prepaid items.

5. Bank Statement Loans (Non-QM Loans): Bank Statement Loans, often referred to as Non-QM (Non-Qualified Mortgage) Loans, cater to self-employed individuals or those with unconventional income sources. These loans don't adhere to the strict standards of conventional loans and may consider alternative factors for qualification. Credit requirements can vary significantly among lenders offering Non-QM loans, so it's crucial to work closely with a knowledgeable mortgage broker to find the right fit. I personally work with TWO local lenders who offer this amazing program.

Remember that credit requirements and loan options can change over time and can vary from lender to lender. Consulting with a trusted mortgage professional is essential to determine the most suitable loan type for your specific situation. They can help you navigate the complexities of the mortgage market and guide you toward the loan that best aligns with your financial goals.

....and MOST IMPORTANTLY, GET PRE-APPROVED before "shopping"

If you're ready to explore your home financing options or have any questions about the mortgage process, please don't hesitate to reach out to me, one of your Berkshire Hathaway HomeServices Realtors. I'm here to assist you every step of the way, from finding your dream home to securing the right mortgage loan.

Happy house hunting!

Scott Guidry - Berkshire Hathaway HomeServices, Preferred Realtors
Realtor Equal Housing Opportunity Multiple Listing Service
 

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What my clients are saying  

Thank you so much for a flawless process! Sunny and I were a bit terrified to get things moving, but Scott made us feel at ease from the very first day. We could have never done it without him!

 

~ T. Collman

I don't know where to even begin. No matter the time nor day, any time I tried to reach Scott, he was there. If he didn't answer right away, he sent me a message letting me know he'll call back. That right there is a major sign of a GREAT agent! Don't waste your time with anyone else...give Scott a call!

 

~ J. Trahan

"Hey Scott, just wanted to say thank you again for everything you helped and did for us! Literally couldn't have done or navigated through this process without you!"

 

~ Jennifer B.

Scott is GREAT realtor! He is knowledgeable, easy to work with, detailed-oriented, and goes out of his way to making the buying experience easy. I highly recommend working with him.

 

~ M. Scott

Where do I even begin?!? My fiancé and I were FIRST time home buyers at 22 and 23. We were living in an apartment for 6 months and quickly began to hate renting life. On a whim we decided let’s try for a house and Scott walked us through EVERYTHING along with Jessica Glass (lender) and it was great and seamless! We put an offer in and it was accepted the next day and from there the ball was rolling and we closed just shy of a month being under contract! I couldn’t have asked for a better team or realtor. I’m very grateful for our experience as first time home buyers and it wouldn’t have been possible without Scott. Thank you again so much for all your hard work! We love our new home!!

 

~ A. Allen

I’ve gotten the opportunity to work with Scott several times, most recently to sell my land and buy a house and he always does such an amazing job serving his clients. For me the whole process was an absolute breeze and he really works hard to get things done as quickly as possible. I highly recommend Scott for anyone Realtor needs you may have!

 

~ A. Benton

The home buying process is a very stressful one. Scott took all of the stress out of it for us. He never hesitated to answer my questions, he kept me informed every step of the way. He goes above and beyond for his clients! Highly recommend!!!

 

~ K. Draughn

If you’re in need of a realtor then look no further! Scott is the best! professional, knowledgeable and compassionate every step of the way! He has assisted our family as buyers and now as a seller! HIGHLY recommend!

 

~ M. Calmes

I highly recommend using Scott for you selling or buying of realestate. He is very professional, knowledgeable and helpful in all aspects of the deal. Scott sold my home in Hammond La with me being absentee. He told me what to expect before hand and he was right on target and did exactly what he said he would do. I would definitely use him again. He really made it easy.

 

~ H. Weisman

Scott has shown that he loves people and loves his customers. I highly recommend Scott when looking to buy or sell, responsive and keeps his commitments. And he can definitely guide you as a new home buyer. Thanks Scott!

 

~ B. Newman

If your looking to Rent or Buy, Scott Guidry is your guy! He works a very hard to get you what you need. He’s very knowledgeable about local property and even property out side his home area. He is definitely a go getting and never stops to working to get his clients what they need. He’s very professional and has a very good response time when you ask questions. He’s honest and reliable. I trust him with any Real estate needs and wouldn’t use anyone else !!! Remember, rent or buy… Scott Guidry’s your guy!!

 

~ C. Landry

We choose to use Scott Guidry with Team Geaux. The reason was he didn’t just try to sell us any house. He sat down with us and went over the details we where looking in our home. He then took that information and compiled a list of potential homes with in our criteria. I have purchased several homes and properties in the past but no realtor has taken the time like Scott. We highly recommend that you call Scott if you are buying or even selling your property or home Today!!

 

~ K. McCourt

Scott was amazing! He sent pictures from beginning to the end of construction, he updated me every week. I couldn’t have asked for a better agent, he answered all of my questions. If he did not know the answer he got the answer in a very short time. He walked me through the entire process, which was very important because I was in another state while my home was being built. Thank you so very much Scott!!

 

~ M. Fontenot

As a former agent in my opinion...Scott has become a trusted friend.. His enthusiasm for detail combined with insight,professionalism and never ending energy allowed me to discuss in depth my goals to achieve them... He is a sure bet to give you the opportunity to go after your dreams....his support ,compassion and saviness are a win win .....I would definitely refer him...

 

~ L. Stabile

Scott helped make our dream of becoming homeowners a reality. We were able to purchase a brand new home with no money down. He truly cares about his clients and is always willing to do whatever he can to help. He literally works all the time for his clients!! I would highly recommend Scott for any of your real estate needs.

 

~ P. Bergeron

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