Contact a lender to apply for a loan... If qualified, they will provide you with a Pre-Qualification letter which will show a seller that you are prepared, and serious. Once you make an offer, and it is accepted, you will need to give your lender the required documents for underwriting your loan: Tax returns, pay-stubs, bank statements, etc. Your lender should give you a list of what you will need.
A bank is a good source for getting per-qualified based on your income levels, but don't forget family, friends as well as private money lenders. There are many options available to you, for the asking. The fact that you decided to ASK the question, means you have already started on your solution.
Thank you for the question.....the BIG question is: Do you need $40,000 for a down payment or do you need $40,000 because that is what the house will cost? Is your new property will sell for $40,000....do you have money for a down payment and for closing costs. There are NO MONEY down mortgages available too! SOOOOO contact us....we can assist you every step of the way to help you accomplish your goal.
"The Real Estate Lady"
Oceanside Real Estate
(904) 732-PACK 732-7225