| Getting a home loan with bad credit has actually never | | | | Shop Around - There are some mortgage brokers out |
| been easier than it is today. Here are some tips to help | | | | there that you will talk to who will say, "I can't help you, |
| improve your chances of success: | | | | and if I can't help you, no one can help you." But, if you |
| Find A Good Real Estate Deal - If you can find a | | | | persist in talking with other brokers, 10 minutes later |
| property that has some equity in it when you purchase | | | | you could be talking to someone who knows a way to |
| it, you may have an easier time getting financing on | | | | help you, no problem. Most brokers feel that if they |
| that property. To the lender it may be almost as good | | | | can't help you, no one can. However, the ironic thing is |
| as if you had some kind of down payment on the | | | | that each broker is varied in the types of loans they |
| property. Some lenders will consider the properties | | | | can do. Some brokers have relationships with flexible |
| loan to value ratio when they consider the loan. Talk to | | | | mortgage lenders and others do not. I recommend |
| your mortgage broker and see if this factor could help | | | | applying online to mortgage services that will submit |
| you get qualified. | | | | your application to multiple lenders. That way, your |
| Try Creative Financing - See if the seller would be | | | | credit is only pulled once, and you can analyze offers |
| willing to carry back a second mortgage on the home. | | | | from multiple lenders. To see our list of recommended |
| This is where you set up a contract or agreement | | | | bad credit mortgage lenders, visit here recommended |
| with the seller that you will pay them monthly | | | | bad creditmortgage lenders |
| payments, including interest of, let's say, $150/mo on | | | | Improve Your Credit Score - There are some really |
| $10,000 dollars of the price of the property, as a | | | | simple ways to improve your credit score without |
| second mortgage. Then, to make it nice for the seller, | | | | spending too much time at it. All 3 major credit bureaus |
| perhaps put in the agreement that the entire amount is | | | | now have areas on their websites where you can |
| due in full within 2 years or something. That should give | | | | dispute incorrect items on your credit. The process is |
| you plenty of time to refinance and then the seller | | | | very quick and easy. Make your current payments on |
| doesn't feel permanently locked into the contract. | | | | time to help your score. Keep your number of credit |
| Save For A Down Payment - There are lenders who | | | | inquiries down. Too many inquiries can hurt your credit |
| may be able to qualify you for 100% financing, even | | | | score. If you want to buy a house, don't apply for any |
| with low credit scores, but your interest rate will be | | | | credit cards, auto loans or any other type of loan if |
| much lower if you can put even 3-5% down. If | | | | you can avoid it. For your reference, here are the links |
| possible, try to save as much as possible for a down | | | | to all 3 major credit bureau's websites: |
| payment. Sometimes it may be better to wait about | | | | If you really do want to get into a home, don't let bad |
| 3-6 months to get into a new home loan if it means | | | | credit stop you. There are lenders out there who can |
| the difference of having a down payment. The interest | | | | help you, it just takes some persistence. Apply with |
| rate could be quite a bit better because of that factor. | | | | multiple lenders. Like I said, apply with mortgage |
| However, if you don't want to have a down payment, | | | | services that specialize in bad credit mortgage loans |
| you can always refinance later for a lower interest | | | | and will submit your application to multiple lenders with |
| rate. | | | | only having one credit inquiry. |