How many times have you said to yourself…I think I’m afraid to be hopeful, because whenever I get my hopes up, something bad always happens. Sound familiar? Getting up the courage to apply for a mortgage when you have bad credit can feel the same. What can be done?
Lender’s Definition of Bad Credit
The world of mortgages has a lot to say about how bad credit affects your mortgage interest rate and even if you will get approved at all. At the end of the day, how bad credit is defined depends on which lenders you are working with.
- Big Banks – When being considered for a mortgage with the banks there is a generally accepted number of 680 or higher on your credit report which constitutes good credit and anything less can get you declined for your mortgage.
- Mortgage Finance Companies – A credit score of 600 or higher is what is generally considered good credit when working with what I call ‘Mortgage Only’ companies.
- Equity Mortgage Companies – This group of lenders holds a different value on your personal credit score. It is considered of secondary importance compared to the value of your home. Having a credit score of 550 or higher will get you a mortgage approval.
- Private Mortgage Lenders – Finally we come to a group of lenders who puts little importance on your credit score at all. You can have terrible credit and still get approved for your mortgage. Typically your credit score will affect the interest rate you will get approved for.
Is Bad Credit Ruining My Chances For a Mortgage?
So you need help on your mortgage and got rejected again when reaching out. It’s gotten so bad that you feel like people are unfairly prejudging you.
Why should I be hopeful when this is always the result when I try for something better? Why am I treated differently because of a stupid number? Is there a target on my back or something?
The reality is that we have not been taught the system. Our education system does not teach us practical tips needed towards your best credit score. When choosing who to work with for your mortgage – find an educator. I work with my clients and provide a complimentary assessment of your full credit report and free tips towards your best mortgage.
Find out more about all the things you need to know about Bad Credit Mortgages
Mortgage Options With Bad Credit
We are going to get you the mortgage. But there is still this feeling to overcome. This nagging sense that if you do get your hopes up, it will all come to nothing. I have only one question to ask you then…what is the worst that can happen?
If for any reason the mortgage process ends in an inability to complete it today, you will still have the feeling of unconditional acceptance. And as a bonus, you will even get a few free tips towards how we can get you across the finish line shortly after.
How would you like to be invited to be treated well regardless of your bruised credit? This is my invitation and my promise to you. You will be treated as a VIP…regardless of your credit status. So don’t delay in reaching out to me today and let’s get you that mortgage…and better credit for tomorrow.