Subprime Mortgages And A Past Bankruptcy
by: Carrie Reeder
Even with a Chapter 7 bankruptcy in your credit report you can still qualify for a sub-prime mortgage. Once approved, you can then use your mortgage to improve your credit history, qualifying you for lower interest rates in the future.
The Effects of a Bankruptcy
A bankruptcy will affect your credit score based on how long ago it was. So a bankruptcy discharged less than a year ago will qualify you for a D loan. These types of loans usually require 30% down and a high interest rate.
By waiting a year after a bankruptcy, you can qualify for a B or C loan with their lower rates and down payment requirements. If you wait two years, you can qualify for a FHA home loan. In four years, you can qualify for a conventional loan.
Besides your bankruptcy record, financing companies will want to see a steady payment history. This includes your credit and rent payments. Cash reserves for six to twelve months will also offset your credit risk.
Search For Lenders
Not all sub-prime lenders evaluate borrowers the same way. So you may qualify for a B loan with one lender and a C lender with another. To find who will offer you the best financing, you will need to request quotes from several lenders.
You can request quotes over the phone or online. Online sites will provide a fairly accurate quote based on the generic information you provide. You can also use free mortgage broker sites which provide home loan quotes from several different financing companies.
Before You Apply
Before you apply for your mortgage, make sure that all accounts involved in your bankruptcy have been closed. You can request a copy of your credit report from the reporting agencies to check your information. You may also consider including a letter in your report explaining the circumstances of your bankruptcy. Some lenders will look more favorably on your account if illness or job loss affected your finances.
After Your Mortgage
Once you have purchased your home, plan on rebuilding your credit history by making regular payments. Within two years you may qualify for a conventional mortgage with low rates.
About The Author
Carrie Reeder is the owner of http://www.abcloanguide.com, an informational website about various types of loans. See my recommended http://www.abcloanguide.com/lessthanperfectcredit.shtml online.
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Mortgages - The Inside Story
Mortgages - The Inside Story
by: David Wood
Getting a mortgage to buy a property (or a remortgage to get a better deal on existing property) is not easy. Mortgaging is a complex process and will always involve some professional services and advice.
At a minimum you will require a solicitor to handle conveyancing and title of the property, you may also use a mortgage broker or advisor and even perhaps a property consultant and/or surveyor (in addition to the surveyor acting on behalf of mortgage lender).
For some, particularly first time buyers, dealing with all these "experts" can seem daunting. So lets examine some of the basic issues regarding mortgages and remortgages to better prepare you.
A mortgage is simply a "home loan", basically a type of secured loan using the property as security for the lender. To protect themselves lenders will need to know how much property is worth just in case they have to sell it to recover the...
Mortgages - The Inside Story
Mortgages > Mortgages - The Inside Story
Mortgaging Your First Home
Mortgaging Your First Home
by: Jim Muscali
Securing a mortgage for the first time can be a frightening
time in your life. You want to make sure you understand
what is going on so the mortgage lender cant take
advantage of your lack of knowledge.
In spite of numerous laws and regulations it is still
better to have a very least a basic understanding of the
ideas and systems of the mortgage industry.
There are many different deals, incentives and programs for
the first time mortgage buyer. Its important to look at
each of these in detail to find out if they are worthwhile,
and if so, if they are ideal for you and your circumstances
when it comes time to mortgaging your first home.
The old saying if it seems too good to be true it probably
is should be kept in mind at all times.
There are whole range of starter mortgage plans dependent
on your situation now and what you anticipate will...
Mortgaging Your First Home
Mortgages > Mortgaging Your First Home
A Guide to Buying a New Home
A Guide to Buying a New Home
by: John Mussi
If you've decided to make the leap from renting a home to owning a home, you might be a little overwhelmed at the prospect of shopping for homes and applying for mortgage loans.
While mortgage loans can seem a bit confusing at first, you'll find that they aren't nearly as bad as they might seem once you've taken the time to learn more about the mortgage loan process.
While this is by no means to be considered a complete list of everything that might come up while shopping for a new home, you'll find below a brief guide to the process of shopping for a home and applying for a mortgage loan.
Searching for a home
The first part of buying a new home is, obviously, finding the home to buy. While there are obviously a large variety of homes available on the market today, it's important to make sure that you stay within the range of what you can afford. After all, you're going to be making...
A Guide to Buying a New Home
Mortgages > A Guide to Buying a New Home
An Overview of Getting a Homeowner Loan
An Overview of Getting a Homeowner Loan
by: John Mussi
Should you be in the market for a homeowner loan, you might find yourself wondering exactly how to go about finding the loan solution that you're looking for.
A homeowner loan is a loan that's designed for individuals who own a house or other real estate, and uses the value of the home as the collateral for the loan.
A homeowner loan is sometimes called a second mortgage or a remortgage, because it is essentially a mortgage on real estate that you've already purchased.
Equity as collateral
One of the main considerations that a bank or finance company will examine before approving your homeowner loan is the equity that you have in your house or real estate.
If you're unfamiliar with the term, equity is a measure of the money that you have invested in your house against your mortgage? in other words, it's a consideration of how much of your house you actually own.
Real...
An Overview of Getting a Homeowner Loan
Mortgages > An Overview of Getting a Homeowner Loan
Give a Swiss Fondue Party
Give a Swiss Fondue Party
by: Micaela Ferrari
A Fondue Party is ideal for an informal evening with friends. This popular dish comes from Switzerland where villagers in the mountains had to rely on local produce, like cheese, wine and home baked bread during the long winter month. The name fondue comes from the French word "fondre", which means to melt or blend. Fondue meaning melted cheese in wine. You will need a chafing dish over a spirit stove and long fondue...
Give a Swiss Fondue Party Mortgages glasses
Mortgages > Give a Swiss Fondue Party
Mortgages Subprime Mortgages And A Past Bankruptcy
A Primer on Digital Cameras... Everything you need to know
A Primer on Digital Cameras... Everything you need to know
by: Joe Leech
It wasn?t long ago that digital cameras were essentially for
the rich and the geeks; if you spent just a few bucks you
didn?t get anything worth having, and if you really wanted
something good.. well, you?d better be in the book about the
Rich and Famous.
Technology and costs have changed drastically in the last few
years, and it seems as if today that digital cameras...
batteries
Mortgages > A Primer on Digital Cameras... Everything you need to know
Batteries - From Laptops to Motorcycles
Batteries - From Laptops to Motorcycles
by: Eric Comforth
What would you do without them? Seriously, if every single battery of every single type were suddenly zapped out of every single thing that it operated, what would any of us do?
Laptop computers, without a doubt, are the lifeblood of many a businessperson today. Portable, convenient, they allow us to work on the run and do more business. Laptop batteries are essential to keep this resource working,...
batteries
Mortgages > Batteries - From Laptops to Motorcycles