Can I buy a home with damaged credit?
Bankruptcy filings are at an all time record high. Many
consumers have amassed large amounts of debt and have gotten behind in their bill repaying
ability. Many think that there is no way they could qualify for a home loan however, this
is no longer necessarily true. A poor credit history, while unfortunate, does not
eliminate the possibility of obtaining a mortgage loan. Many people have experienced credit problems over
the past several years. In response to the growing number of potential home buyers with
credit challenges, several lenders have now made available loan programs to assist those
individuals with getting back on track with their credit profile. We like to call this the
"Fresh Start Program."
It is now easier to purchase a home with less than
perfect credit. Lenders today have helped thousands of people with credit challenges get
into a home that they thought they could never qualify for. What bad credit does impact is the
rate that you are going to pay and the amount of equity that you will have to have in the
property. A few credit blemishes will slightly raise your interest rate over the current
rate. Mortgage professionals are not qualified to advise you on correcting your credit. A
legal professional or someone specializing in that field should handle this. However, many
times, due to common last names, or an error of one number on a social security card
number, credit files can be merged inaccurately.
A Landmark Mortgage
loan professional can sit down with
you and determine whether you need to correct your credit or not. However, you can be
better prepared if you get a copy of your credit report to review before you apply for
your mortgage. That way, if there are any errors you can take steps to correct them before
you complete your application. If you have had credit problems, be prepared to discuss
them honestly with us and come to your application meeting with a
written explanation. At Landmark Mortgage,
we know there can be legitimate reasons for
credit problems, such as unemployment, illness or other financial difficulties. If you had
a problem that has been corrected, and your payments have been on time, your credit will
probably be considered satisfactory.
Landmark Mortgage specializes in assisting individuals with less than perfect credit.
Whether it's a matter of negotiating with your creditors or simply including a letter of
explanation, Landmark Mortgage
in most cases can advise you on the best approach and help you get the house of your
dreams! |
