You desperately need a loan for a new house but unfortunately you don't qualify for getting a home loan. Perhaps you have already been to two lenders and they gave you the bad news that you are hopeless. Don't panic. Try to re-evaluate your situation and take advantage from small things other than you revenue and you might be surprised how easy you could get a home loan even with such bad credit. Check these out:
Smell a Good Deal for a Real Estate - Try to discover a property that has already got some equity in it, when you purchase it. Equity represents the value of a real estate, a property after you have paid any mortgage or other charges relating to it. You might get easier a financial support for purchasing the property because some lenders consider it as if there would be some kind of down payment. Anyway, you could talk first about this possibility to your mortgage broker to see if you would qualify by doing this financial maneuver.
Try to Get a Second Mortgage on the Real Estate - You could try to be more creative and ask the seller whether he would be willing to have a second mortgage on that home. Thus you could set up an agreement with the seller through which you will have to pay monthly an approximate sum of $200, for instance, on $15,000 of the price of the real estate (plus or including the interest rate), for the second mortgage. You could state in the agreement a period of two or three years for this pledge. This would eliminate the veil of uncertainty and establish a goal that is closer than no limit at all, and no perspective. In the meantime, you could refinance or find different solutions to deal with your problem.
Save Some Money to Pay in Advance - Some lenders might give you a full credit if you come with at least a small percentage of the sum. This would grant you supplementary points for getting the credit and would also lower the interest rate. If you don't have the advance now, you could wait five or six month to save some money to be able to come with a down payment. Of course, if you can't wait and need money urgently, you will lower the interest rate later by refinancing the credit.
Don't Give up, Go Further - don't trust the first broker who tells you that there is no hope for you. You will finally find someone who could offer a viable solution, just keep asking and searching. Each broker has a variety of loans and relationships with more or less flexible lenders.
An alternative is to apply online to mortgage services. Thus your application would be seen by more lenders and you might get more offers to analyze your solvency.
Improve Your Present Credit Score - by not applying to credit cards, auto loans or other loans, if possible. Too many inquiries would also affect credit scores. Another important thing you should do to improve your credit scores is to acquit your current duties and payments on time.
The conclusion is that there are always solutions to solve your problems if you insist on doing this. As far as loans for a home are concerned, you should not let a bad credit discourage you. There is always a solution for you out there.
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