Dream America Rent to Own Program Qualifications

by Terin Branhan

Overview: Dream America is designed for individuals who are ready to move into a home now but need some time to secure a mortgage. The program allows participants to choose a home they love, rent it while they work on their credit and financial profile, and then purchase the home within a specified period.

WHAT ARE THE MINIMUM REQUIREMENTS?

+ FICO score of 500

+ Household pre-tax income of $4,000/month (applicant + co-applicant, if any). For self-employment or those who have a combination of self-employment and wages, Dream America uses total income from your tax returns as the starting basis in determining qualified income for the program

+ $8,000 or more available from savings, 401k or gift. If savings, funds must be available in your bank accounts and average greater than $8,000 over the preceding 2 most recent bank statements in order to be considered. If 401k or gift, bank balance must also average at least $5,000. Applicants that don’t provide this documentation will be automatically denied

+ Debt to income ratio including Dream rent below 50%

+ 12-month track record of paying rent on-time

+ U.S. citizen or Permanent Resident Alien