Bad Credit Mortgage Tips
There are so many people who
are struggling financially with today’s economy for so many different reasons. Because of these reasons that
people are struggling, they sometimes have a hard time making payments on time, or even at all. Even if you do
not have good credit because of your situation, you can still find a way to be able to purchase a home, using a
bad credit mortgage. The following are some tips to help you get this type of loan.
1. Save, save, save, and save some more. Do anything you can to put away more money than usual,
because even with an FHA loan, you need to show that you have at least three months of house payments saved up
2. Your credit score lowers every
time you open a credit account, no matter where t is at. Do not apply or open up a credit account when you are
looking to purchase a home, and especially if you are going to try for this type of loan. Do not let your credit
be pulled for at least six months prior to applying for a loan, whether you are buying a home or doing a
shouldn’t co-sign on anything, open any new lines of credit, or take out any other types of
4. As hard
as it might be, make sure all your bills are paid on time, and make sure you have verified checks so that your
lender can look back twelve months.
lender will want to know that you have a stable job with a stable income, so do not change your job anytime
close to applying for a loan.
6. In order to prove that job
stability and income, you should probably not even change careers for at least two
7. If your
lender sees that you are on your very last cent, they might not give you the loan, so really be frugal and try
not to be living penny to penny.
8. Do not let your realtor
convince you that you can afford something more than your loan officer has told you that you qualify
9. Look for the best
deal for your situation when you are house shopping. You do not have to go with the one that fits your budget to
a T, but you can go with a house that is less, giving you a little more give in
10. Whether you are doing mortgage
refinancing or getting a first mortgage, you will want to be sure you have a large down payment saved
Following these ten tips will give you a better
idea for what to do if you have poor credit but need to qualify for a loan to buy or refinance a