Getting a home loan with bad credit has actually never been easier than it is today. Here are some tips to help improve your chances of success:
Find A Good Real Estate Deal – If you can find a property that has some equity in it when you purchase it, you may have an easier time getting financing on that property. To the lender it may be almost as good as if you had some kind of down payment on the property. Some lenders will consider the properties loan to value ratio when they consider the loan. Talk to your mortgage broker and see if this factor could help you get qualified.
Try Creative Financing – See if the seller would be willing to carry back a second mortgage on the home. This is where you set up a contract or agreement with the seller that you will pay them monthly payments, including interest of, let’s say, $150/mo on $10,000 dollars of the price of the property, as a second mortgage. Then, to make it nice for the seller, perhaps put in the agreement that the entire amount is due in full within 2 years or something. That should give you plenty of time to refinance and then the seller doesn’t feel permanently locked into the contract.
Save For A Down Payment – There are lenders who may be able to qualify you for 100% financing, even with low credit scores, but your interest rate will be much lower if you can put even 3-5% down. If possible, try to save as much as possible for a down payment. Sometimes it may be better to wait about 3-6 months to get into a new home loan if it means the difference of having a down payment. The interest rate could be quite a bit better because of that factor. However, if you don’t want to have a down payment, you can always refinance later for a lower interest rate.
Shop Around – There are some mortgage brokers out there that you will talk to who will say, “I can’t help you, and if I can’t help you, no one can help you.” But, if you persist in talking with other brokers, 10 minutes later you could be talking to someone who knows a way to help you, no problem. Most brokers feel that if they can’t help you, no one can. However, the ironic thing is that each broker is varied in the types of loans they can do. Some brokers have relationships with flexible mortgage lenders and others do not. I recommend applying online to mortgage services that will submit your application to multiple lenders. That way, your credit is only pulled once, and you can analyze offers from multiple lenders. To see our list of recommended bad credit mortgage lenders, visit here recommended bad credit
mortgage lenders
Improve Your Credit Score – There are some really simple ways to improve your credit score without spending too much time at it. All 3 major credit bureaus now have areas on their websites where you can dispute incorrect items on your credit. The process is very quick and easy. Make your current payments on time to help your score. Keep your number of credit inquiries down. Too many inquiries can hurt your credit score. If you want to buy a house, don’t apply for any credit cards, auto loans or any other type of loan if you can avoid it. For your reference, here are the links to all 3 major credit bureau’s websites: www.abcloanguide.com/credithelp.shtml
If you really do want to get into a home, don’t let bad credit stop you. There are lenders out there who can help you, it just takes some persistence. Apply with multiple lenders. Like I said, apply with mortgage services that specialize in bad credit mortgage loans and will submit your application to multiple lenders with only having one credit inquiry.
By: Carrie Reeder
Are you worried with the fact that your child has opted for medical education which is quite a high-ticket option and you won’t be able to support it? Think no more when medical school loans are around to help your offspring execute his or her dream to become a medical professional.
Medical student loan consolidation is quite an easy option for you. You can make best use of medical student loans rendered by both state sponsored organizations and private lenders. Many people are of the opinion that availing a medical student loan means to be in debt for years. Such burden on the shoulders of the young students may affect their studies. But this is not so. Today repayment of medical loans is quite flexible and easy.
Medical school student loans are furnished by federal sponsored programs like National Health Service Corps (NHSC) Scholarship Program. This NHSC is a very good plan for medical students who want financial aid to conclude their studies and meet all medical education expenses. NHSC loan program is financed by the United States Department of Health and Human Services Public Health Service.
Such national student loans for medical school programs are based on ’support for service’ plan. Repayment of national financial aid is very casual. Any student who obtains such loan has to commit to serve government run health organizations or similar health care units for a few years.
This way the loan amount disbursed to a student gets deducted and you become free from debt too. National loan programs also offer medical residency loans to students who want to pursue higher education and do specialization.
The amount of medical student loan sanctioned varies from lender to lender. Most of them cover full expenses of medical studies including tuition fee, books expenses and person’s monthly stipends. The interest rates on financial aid for medical students also differ from lender to lender. Usually medical school private loan has higher rate of interest than a state or federal sponsored loan.
Besides the NHSC loans and other state sponsored loans you can take Stafford medical loans. There are two types of graduate Stafford student medical loans.
One is subsidized Stafford Loan which is awarded based on the financial need of the student where interest is not charged till you start your repayment. And the other one is unsubsidized Stafford Loan. This is available for all students without financial need and the interest begins from the time the loan is disbursed.
The Association of American Medical Colleges (AAMC) too offers different types of loans to medical students. When private medical loans charge too high interest rates, such loans from state sponsored organizations serve as a better option.
You must take care of repayment of medical student loans as well. Make a proper plan and opt for those loans which offer you a flexible and affordable repayment plan. Various medical schools have facilitated counseling on medical school loans for parents and guardians to help them get easy loans without any difficulty. They guide them on rules and regulations regarding the repayment too.
By: Amit Raju
