Where can I get a loan for a home when I have filed bankruptsy?
Answer:
Bankruptcy may not be the reason you can't get a loan.
Lenders look at several things. your debt-to-income ratio (primary), your history of repayment to other lenders, the amount you want to borrow vs the value of your home, your length of time at your present job, AND your character as they perceive it.
When you are denied a loan, U.S. banks, credit unions and other mortgage lenders are required by law to notify you and tell you WHY your application has been turned down. When you get one of those notices, call the lender and ask to speak with the person who took your loan application. Sit down with her and ask for her advice on getting a loan.
Follow her advice.
You need to call a lender and ask for counseling. Ask a real estate agent in your area for a referral. The lender can tell you what to do to get your credit cleaned up or ever a loan. It may be higher interest.
You can also look in the paper for “Money to Lend” in the classifieds.
What state are you in? Feel free to e-mail me.
You had good payment history since the bankruptcy? With actual lines of credit, not just monthly bills and rent?
You've probably been applying with A paper lenders. Talk to several brokers. Brokers have not only A paper but also subprime lenders on tap.
Now, you may need more of a down payment, or you may not be able to prove you make enough to justify the loan. But your best bet for the best treatment is through brokers.
In general, if you've got a 580 credit score and can prove you make enough money, you can get 100% financing.
Bad Credit Mortgage Loans
There is only one way of getting out of a financial crisis if you have a bad credit history. Get a bad credit mortgage loan.
When you apply for a loan, the first question every lender asks is: “How’s your credit report?” If the answer is in any way viewed as negative, your application is rejected. With a bad credit mortgage loan though, that would never happen.
Bad credit mortgage loans allow the borrower to get their loans even with a bad credit report. So how does bad credit mortgage loans work?
Well, usually when you apply for a loan, you would have to undergo a pre-qualifying process. This process involves digging into your finances, your income, assets and liabilities, the whole gamut. If your finances come up short of the requirements, your application for a loan will not be accepted.
A bad credit mortgage loan works in a completely different way. There are no pre-qualification requirements when you apply for a bad credit mortgage loan. Lenders who offer bad credit mortgage loans do not even take a second glance at your credit history. The important thing is you get your money and that’s that.
Speaking of lenders, which lending companies are offering bad credit mortgage loans among their list of loan programs? Several bad credit mortgage loans are being offered by some alternative loan companies. When you choose one company, make sure that you know what is required of you when you ask for a bad credit mortgage loan. Below are a few facts you need to know about bad credit mortgage loans.
Higher Interest Rates for Bad Credit Mortgage Loans
It is only natural that high interest rates are charged for those borrowers who are on a bad credit mortgage loan. Handing out loans to borrowers with poor credit is a risky business and lenders want compensation for the risks they’re taking.
Bad Credit Mortgage Loan Limits
But while rates are indeed high in bad credit mortgage loans, there are also limits to these. Discount points in bad credit mortgage loans are common. Borrowers with good credit may not have to pay for these on their loans or they may but for only a low percentage. For borrowers with bad credit, the limit is usually four or five points on their bad credit mortgage loan.
Larger Down Payments for Bad Credit Mortgage Loans
Like interest rates, down payments for bad credit mortgage loans are higher than regular loans. This again points to the “risk” part those lenders of bad credit mortgage loans are taking. This might be a good thing for borrowers on bad credit mortgage loans.
Larger down payments usually mean smaller monthly payments for your bad credit mortgage loan. This also means that you can slowly and steadily reduce your bad credit mortgage loan balance, providing for better affordability.
A Few Companies Offering Bad Credit Mortgage Loans
Bad Credit Loans & Mortgages are offering a bad credit mortgage loan program that involves the following key features: lowest interest rates in the U.S., free up cash for home improvements or debt consolidation, and up to 100% home value to be borrowed. E-Loan is also offering a bad credit mortgage loan program with no lender fees and no hidden costs.
There are several other lending companies offering bad credit mortgage loans in their list of loan programs. Just do a little Internet-exploring and find out what bad credit mortgage loan is best for you.
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