First Start Homes - Frequently Asked Questions

FREQUENTLY ASKED QUESTIONS

Question 1

What does easy qualifying mean?

Answer: Easy qualifying means that you do not have to jump though the hoops like a Bank. All we require is a basic application which we can complete over the phone (or we can mail or fax it to you). There is NO COST to you. Once you are pre qualified, we can make an appointment to meet with you at the property.

Question 2

Our Credit is not good. What do you look for on the application?

Answer: We Look For Three basic things:

Verification of employment. We are looking for someone who makes a reasonable income with established job history.
Regular Rent payments (or house payments). We are looking for someone who has a history of making their rent (or house) payments on time.
Credit. The credit doesn't have to be perfect, but it does need to be reasonable. A few slow pays or even a bankruptcy can be okay. What we're looking to avoid is the person who makes a habit of not paying their landlord or mortgage company on time.

Question 3

We're new to the area and we don't have any local references. (employment, landlord, etc.) Can we still buy a house?

Answer: Yes, we simply verify all information from your previous area, Thus it is very important that you provide us with all information, including addresses and telephone numbers.

Question 4

How long does the whole process take?

Answer: We can usually give you an answer within two to three days. From there it's just a matter of paying the deposit and arranging an appointment with your solicitor to sign the contract. Once the contract is signed you can move in.

Question 5

Can I refinance my loan?

Answer: Yes. You may use any lender to refinance the loan. However, remember that in all likelihood it would be at least a few years until you build up enough equity to qualify for a new loan.

Question 6

What does "lease with option to buy" mean?

Answer: It means that on some of our homes (usually the more expensive homes) you can lease the property and take up an option to buy the same property in 6 - 12 months time. You will be given an opportunity pay rent and at the same time we will give you back some money in the form of a rent credit to go towards your deposit . When you take up the option to buy and enter into the purchase agreement, First Start homes will give you the agreed rent credits as deposit for the home. As long as you don't default on any payments you will receive all your rent credits at the time that you enter the purchase agreement.

Question 7

What does rent credit mean?

Answer: It means that some portion of your payment will be credited to the deposit of the home. For example if you paid $405 per week in payments, $270 would be rent and $135 per week would be given back to you to go towards deposit. So in 12 months time you would have accumulated $7020 as deposit! The idea is to have enough deposit to enter into a purchase agreement and allows you to demonstrate a good payment history.