If you think your credit score is too low to qualify for a mortgage, you should change the way you think regarding mortgages. Many people fear that if they apply for a mortgage, lenders will deny them because of low credit scores. However, it is possible to qualify for a mortgage even if you have bad credit.
Credit scores usually range between 300 and 850, and many lenders consider scores below 600 as poor. However, there are no universal hard lines that determine good and bad credit scores. In 2014, mortgage companies approved 37 percent of loans for borrowers with credit scores below 700. The figure shows that mortgage lenders are willing to work with borrowers who have or think they have bad credit.
The Federal Housing Administration, known as the FHA, insures mortgage loans for people with less than stellar or bad credit. If you apply for and receive an FHA loan, lenders typically relax their credit requirements, and some lenders will approve mortgages for borrowers with credit scores as low as 550. FHA-insured loans usually carry reasonable interest rates and affordable closing costs. Lenders recognize there is a large, underserved segment of the United States population filled with borrowers who have bad credit.
Three Quick Tips for Mortgages for Bad Credit
• Lenders consider more than just your credit score. They consider your income, work history, assets and whether or not your credit score is low due to factors outside your control.
• Lenders understand the difference between unreliable applicants who fail to pay their bills on time and someone who lost a job.
• Lenders today invest in people, not credit scores.
Visit AllCreditSource.com today and learn how you can qualify for a personal loan, short-term loan or payday loan with reasonable interest rates and affordable fees within 12 hours of applying. All credit scores are welcome. Loan amounts will vary based on your credit score.
Low credit score borrowers qualify for mortgages
Explore how borrowers with bad credit can still qualify for mortgages with reasonable interest rates and affordable closing costs.
For Loan, Borrowers With Bad Credit in Atikokan, Ontario, Apply Online at http://www.allcreditsource.com/Applynow.aspx