Bad Credit Loans
We have a number of programs and options available for applicants with bad credit. Below you'll find a brief overview of a few of the more popular programs available.
FHA Loans (under expanded guidelines)
FHA loans typically allow for credit scores down to 620, however under expanded guidelines, we can go as low as 580 with as little as 3.5% down. Click here for more info on FHA loans.
VA Loans (under expanded guidelines)
Like FHA loans, VA loans typically will allow for scores down to 620-640 (depending on which lender you go to), but some lenders will allow for VA loans with credit scores down to 580. Due to the fact that eligible veterans can finance up to 100% of the value of the property ($0 down payment) and the fact that there are no mortgage insurance requirements, VA loans are an excellent option if you are eligible. For more info on VA loans, click here.
Fresh Start Program
This program is designed for those with recent major derogatory credit events, such as bankruptcies or foreclosures. There are no seasoning requirements for those major events, so technically you could qualify one day out of bankruptcy. This program requires at least 15% down, but doesn't require mortgage insurance. This is a good option if you have the funds for a 15% or more down payment and your credit scores are above 580, but you're experiencing a barrier with other programs due to the mandatory wait periods after major credit events.
Portfolio Products
There are several lenders that cater to those with bad credit and they have their own in-house products available. We have access to programs that will allow for scores as low as 500 and even lower on a case by case basis! These programs come with higher interest rates and typically require a large down payment, but can be a great option if you have a very low credit score.
Credit Analysis
In the event that we deem it in your best interest to boost your credit a bit before proceeding with a mortgage, we can utilize our credit vendor (at no cost to you) to analyze your credit and determine what the quickest and most efficient route would be to boost your credit to where we need it to be. While it may take several months or even years to boost your credit on your own, in some cases we can help you boost your scores in a matter of days.
If bad credit is a concern for you, give me a call and we can work through it. You might be surprised what you qualify for, and worst case scenario, I'll analyze your credit and help you with a game plan to quickly and efficiently get to where you need to be.