Comments on: How does a person get a home purchasing loan with low credit scores? http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/ Wed, 17 Aug 2011 05:23:38 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Price is what you pay for value. http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/comment-page-1/#comment-1111 Price is what you pay for value. Mon, 03 Aug 2009 01:03:57 +0000 http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/#comment-1111 Lender will give you money for sure. Probably charge you a higher interests rate and extra insurance on the loan for not having the down payment or good credit. Would you consider delaying your plan? As housing market continues to slump, it might save you 10% simply by waiting for a few months. Another way to look at it, you can increase profit by 10% when you are ready to sell it. As housing market continues to slump, if you don't plan to delay your plan, please interview several and pick a good realtor or agent. Bad ones will talk you into buying the largest property at your credit limit. Good ones will find you a good deal (Sellers are offering discount and incentives now). Try to stay away from Adjustable Mortgage, because 30 year fix mortgage rate is very low right now. There is no reason to use Adjustable loans except fatter commission for loan agents. Interests only loans are not good iether. Mortgage payment consists of two parts: interests and principal. Interests are like rent, which doesn't add to the equity to your house. It simply disappear as your pay it. If you want to use interests only loans, might as well rent, especially during market downturn, because housing price won't appreciate. Finally, for tax benefits, talk to your CPA or tax accountant. Do not consult finance with realtors or agents. They get commissions when you sign the check! Good luck! Good article when you want to put in bid, negotiation. ---------------------------------------------------- Different perspective: It is a myth that renting is always worst off than buying. Rent vs. Buy as Housing Market Continues to Slump As housing market slump, it is easier to calculate "Rent vs. Buy" scenario. Because "appreciation" is no longer a factor. Mortgage payment consists of two parts: interests and principal. Interests are like rent, which doesn't add to the equity to your house. It simply disappear as your pay it. If interests portion of the mortgage payment is roughly equal to rent of equivalent property, then it is a decent buy. For example, let's buy a $500,000 condo with 0% down and apply interests only loan (just like renting a place). Mortgage payment would be $3250/month. It is a bad buy, because you can enjoy same property for $2000/month. Please note that I assume the tax benefits from home cancel out fees from home association and property tax. For more accurate calculation, consult with your CPA or accountant. But NOT your realtor, whom will say anything to get the deal to go through. And again, if you like a particular property, then paying more may be reasonable. You are the only person who can decide how much more premium you are willing to pay. Lender will give you money for sure. Probably charge you a higher interests rate and extra insurance on the loan for not having the down payment or good credit.

Would you consider delaying your plan? As housing market continues to slump, it might save you 10% simply by waiting for a few months. Another way to look at it, you can increase profit by 10% when you are ready to sell it.

As housing market continues to slump, if you don’t plan to delay your plan, please interview several and pick a good realtor or agent.

Bad ones will talk you into buying the largest property at your credit limit. Good ones will find you a good deal (Sellers are offering discount and incentives now).

Try to stay away from Adjustable Mortgage, because 30 year fix mortgage rate is very low right now. There is no reason to use Adjustable loans except fatter commission for loan agents.

Interests only loans are not good iether. Mortgage payment consists of two parts: interests and principal. Interests are like rent, which doesn’t add to the equity to your house. It simply disappear as your pay it. If you want to use interests only loans, might as well rent, especially during market downturn, because housing price won’t appreciate.

Finally, for tax benefits, talk to your CPA or tax accountant. Do not consult finance with realtors or agents. They get commissions when you sign the check!

Good luck!

Good article when you want to put in bid, negotiation.

—————————————————-

Different perspective:

It is a myth that renting is always worst off than buying.

Rent vs. Buy as Housing Market Continues to Slump

As housing market slump, it is easier to calculate “Rent vs. Buy” scenario. Because “appreciation” is no longer a factor.

Mortgage payment consists of two parts: interests and principal. Interests are like rent, which doesn’t add to the equity to your house. It simply disappear as your pay it.

If interests portion of the mortgage payment is roughly equal to rent of equivalent property, then it is a decent buy.

For example, let’s buy a $500,000 condo with 0% down and apply interests only loan (just like renting a place). Mortgage payment would be $3250/month. It is a bad buy, because you can enjoy same property for $2000/month.

Please note that I assume the tax benefits from home cancel out fees from home association and property tax. For more accurate calculation, consult with your CPA or accountant. But NOT your realtor, whom will say anything to get the deal to go through.

And again, if you like a particular property, then paying more may be reasonable. You are the only person who can decide how much more premium you are willing to pay.

]]> By: insane membranes http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/comment-page-1/#comment-1110 insane membranes Sun, 02 Aug 2009 10:29:19 +0000 http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/#comment-1110 ahh doesn't sound like the most ideal candidate for a home loan. you probably wont get the best terms but its not hopeless. try no credit check, and you can get a few different quotes from multiple lenders that specialize in these kinds of home loans. you may have to start off with some less than ideal terms, but it will help rebuild your credit and you will get your home, which is what matters right. ahh doesn’t sound like the most ideal candidate for a home loan.
you probably wont get the best terms but its not hopeless.

try

no credit check, and you can get a few different quotes from multiple lenders that specialize in these kinds of home loans.
you may have to start off with some less than ideal terms, but it will help rebuild your credit and you will get your home, which is what matters right.

]]> By: kthor http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/comment-page-1/#comment-1109 kthor Sat, 01 Aug 2009 05:52:28 +0000 http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/#comment-1109 it's going to be expensive (interest rates are high depending on your score) it’s going to be expensive (interest rates are high depending on your score)

]]> By: clint http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/comment-page-1/#comment-1108 clint Wed, 29 Jul 2009 16:29:44 +0000 http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/#comment-1108 What are your current credit scores? I work in real estate investing and currently own nine houses which I purchased for nothing down. You have the advantage of a really creative situation with your brother as the owner. Even if you have bad credit it is definitely possible. E-mail me if you would like further instructions. What are your current credit scores? I work in real estate investing and currently own nine houses which I purchased for nothing down. You have the advantage of a really creative situation with your brother as the owner. Even if you have bad credit it is definitely possible. E-mail me if you would like further instructions.

]]> By: Go Buccaneers! http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/comment-page-1/#comment-1107 Go Buccaneers! Mon, 27 Jul 2009 05:34:30 +0000 http://raiseyourcreditnow.com/how-does-a-person-get-a-home-purchasing-loan-with-low-credit-scores/#comment-1107 Try lending tree. I used them for our home loan. You simply put in your info (and be honest), and they will match you with lenders who special in slow and less then favorable credit. But only do it if you are serious, because I did it at 2 in the morning, and by 9 AM the next day, they were calling me. It is intimidating to give all your personal information out like that, but the more honest you are, the more accurate the numbers will be. But remember, talk to all those who make offers to you, because you can do the old "this company offered me this" game with them. Don't be shy, they are there to make $ off of you, so be sure to carefully look over everything. (BEWARE OF ARM'S!! Go for fixed. The market is tankin right now!) Try lending tree. I used them for our home loan. You simply put in your info (and be honest), and they will match you with lenders who special in slow and less then favorable credit. But only do it if you are serious, because I did it at 2 in the morning, and by 9 AM the next day, they were calling me. It is intimidating to give all your personal information out like that, but the more honest you are, the more accurate the numbers will be. But remember, talk to all those who make offers to you, because you can do the old “this company offered me this” game with them. Don’t be shy, they are there to make $ off of you, so be sure to carefully look over everything. (BEWARE OF ARM’S!! Go for fixed. The market is tankin right now!)

]]>