To secure a loan for a second-hand house, follow these steps: Check your credit score ( aim for 620+), compare lenders for competitive rates, gather documents (pay stubs, tax returns, proof of income), understand loan terms (interest rates, down payment, amortization), and obtain pre-approval before negotiating the purchase. Lenders like FHA or conventional mortgages offer options with lower down payments (3.5% to 20%), while private lenders may require larger deposits. Online platforms streamline applications, with average approval times of 7-14 days.

The process prioritizes creditworthiness and documentation accuracy because 29% of U.S. mortgage rejections stem from insufficient documentation (2023 FHFA data). A FICO score above 620 reduces rates by up to 1.5% (Experian, 2023), while pre-approval saves 15-20 days in negotiations (National Association of Realtors). Lenders also favor conventional loans (66% market share) due to lower default risks compared to FHA loans (12% default rate in 2022 per HUD). Closing costs average $5,000-$10,000 (2-5% of loan value), with online tools like Bankrate estimating savings of 15-30% by comparing lenders. These factors ensure efficient, cost-effective financing for second-hand properties.