Eligibility Questions

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    My questions are probably oddly specific but I’m trying to gauge whether or not NACA will work for me. I am signed up for a workshop in June but I’m just trying to get some info. Here are my questions and I appreciate any information.

    1. I understand that you must be employed for 2 years. I have 14 consecutive years at one higher education industry from 2005-2020, then a 10 month covid related unemployment gap and now have a new higher education job as of Feb 2021. I am not planning to try to qualify until next June so, assuming I still have the current job, will this employment situation be acceptable or do I need to wait until Feb 2023?

    2. I have never rented a property. I see that the mortgage payment is estimated around rent, but I have no rental history so how would mortgage affordability be calculated?

    3. I filed bankruptcy in 2020 after a divorce. I understand that I must be 2 years post bankruptcy to qualify, but what should I be doing now to ensure eligibility? My credit scores are pretty high, and by next year when I want to try to qualify, I won’t have a car note or credit cards, so I don’t know that I’ll have 24 months of on time payments.


    Naca accepts everyone without exception as long as they have purchased less than 2 houses directly through the naca program. The question is whether the program guidelines are suitable for you.

    Employment needs to be 24 consecutive months in the same industry and gaps cannot be more than 30 days without a legitimate excuse. Being fired and looking for work is not an allowed excuse. Being laid off due to covid however is. If you can get your employer to write a letter on company letterhead (no email or voicemail) stating your layoff was a direct result of covid had nothing to do with job performance and had covid never happened you would not have been laid off then that letter can get you qualified. Otherwise you will need to wait until the 24 month mark hits.

    Mortgage payment is actually not estimated around rent. It’s entirely based on income. Rental history is solely to prove you can pay a large bill every month. If you have no rental history the person you live with will have to sign and date a form of an affidavit that explains who they are in relation to you that you live with them between actual start date and today and whether you contribute to household expenses. It doesn’t matter if you do or not. But you’re bank statements need to match your housing expenses.

    Payment shock is the difference between your expected mortgage payment and your current rent. Since the expected mortgage payment is often more than your current rent you need to prove you can pay the higher amount by paying rent plus saving an additional amount at the very least every month. In your case your payment shock will be the entire mortgage payment you desire.

    For the time being don’t open any credit cards. Don’t take out loans. Don’t use cash or digital wallet options like cash app if you can avoid it. Pay every bill on time. Reduce your debt. And save more than you think is necessary.

    You got this.


    Hello antaylor19,

    First and foremost, all your questions are in fact answered during the course of the workshop. That is its basic purpose, to teach you about NACA, its history and how the NACA Purchase Program works. You will also want to download that Qualification Workbook at and read it cover-to-cover.

    Make sure to obtain the letter Nelsont made reference to in his post. We are taking covid-related layoffs into consideration on a case-by-case basis. With that, your 24 months post-discharge of your bankruptcy should be fine.

    You’re actually overthinking it a bit with your statement, “by next year when I want to try to qualify, I won’t have a car note or credit cards, so I don’t know that I’ll have 24 months of on time payments”. Last time I checked, it was impossible to make a late payment on a debt you don’t have anymore! Plus we recognize certain other regular monthly obligations as “alternative credit” when necessary. Again, you’ll learn all about it in the workshop.

    Regarding rent, how much somebody pays in rent currently is more of a benchmark or guidepost than a rule for qualifying. It’s based on simple common sense that if someone is paying a certain amount of rent each month then they can obviously afford to mage a mortgage payment of that same amount.

    Since you do not have a rental history and are not currently paying rent, you will have to save what is called Payment Shock each month in an amount equal to that of your desired monthly mortgage payment to prove you can genuinely afford that amount.

    Long story short, take the workshop and read the book and you should have all the answers you need. You’re probably in better shape than you think.

    Tim Trumble
    Online Operations, NACA


    Thank you for your information, I’m happy to hear that I might be on the right track.

    The letter I received from my company does clearly state that it was a covid layoff, but it says “temporary” so I wonder if that would raise questions, even though they never called me to restart work.

    As far as the payment thing, yes this is what I was worried about; I don’t have a car note and only one credit card that I was using just to have a regular monthly payment, but if it’s not a big deal, I’ll pay it off and be done with it.

    My last question is – Does this program have any limits on where a person can buy? I’m hoping to stay within a certain school district but it just occurred to me that I’m unsure if there are zip code requirements?

    Thank you so much! Looking forward to the June workshop.


    This is also answered in the workbook/workshop.

    If your income is 100% or below the median income of your metropolitan area then you are considered a priority member and you can purchase anywhere within that area.

    If your income is 100.01% or greater than the median income of your metropolitan area then you are considered a non-priority member and are limited to purchasing within a targeted area.

    A targeted area is a neighborhood within a zip code that has a median income of 100% or less than the median income of the entire metro area. Even 99% is targeted so there are some good neighborhoods.


    Thank you very much for your help. I have just started reading the workbook and am asking questions to make sure that I’m understanding what I read and that I will be a good fit for NACA and vice versa. Looking forward to the workshop this summer and getting started.

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