Bad Credit Mortgage Help
You’ve been rejected by the banks who have made you feel like a second class citizen because of your credit. Today is the day to learn that you have options and they are better than you might think.
Here are the basics of Bad Credit Mortgages and what my clients ask me the most about so you will be seen as a respected and capable supporter of your family. I will go through them here.
Which Banks Will Give You a Mortgage With Bad Credit?
The big banks have the most restrictive lending policies in Canada. Typically, if you have bruised credit it will be difficult to complete your mortgage with them.
Their credit requirements are set up in a way that for the most part, if you need to borrow, they won’t lend to you. More on what the banks do for your mortgage with bad credit.
Generally speaking, if your credit score is below 680 they will decline your mortgage application.
Can I Get a Mortgage With Bad Credit?
Getting a mortgage is possible, even with bad credit.
There are banks, Mortgage Finance Companies, National Equity Lenders, and Private Mortgage Companies and each has a different definition of bad credit.
Getting you approved with the best possible lender for your circumstances is my goal.
At the end of the day, how bad credit is defined depends on which lenders you are working with.
How Do I Get Pre-Approved For a Mortgage With Bad Credit?
It is more difficult to get a traditional pre-approval with the bank for a mortgage with bruised credit.
If your credit score does not meet a specific minimum requirement you will be denied.
The option available is to show potential lenders a record of your good service. I present a letter to potential lenders highlighting your best service. This is based on the information we gather as part of a mortgage application.
From there we obtain a letter of intent and secure you a conditional pre-approval and your maximum mortgage amount and the terms are included within.
What Is The Interest Rate For a Bad Credit Mortgage?
The interest rate you secure for a mortgage with bruised credit depends upon the lender we work with. There are so many options available to Canadians today that there is no ‘one size fits all’ solution out there.
What this means is that if you have bruised credit today you aren’t stuck and can find a better lender tomorrow.
Often the most important step is that we secure your best mortgage possible today with a shorter timeline in order to give your credit a chance to heal for an opportunity for a better mortgage for the long term.
What Is The Minimum Credit Score For a Bad Credit Mortgage?
As already mentioned, your minimum credit score varies depending on the lender we work with.
The actual number on your credit report is important however there is so much more to what goes into the final decision on getting your bad credit mortgage approved or not.
When it comes to working with a non big bank lender, you want to keep your credit score above 550 as a minimum.
Below this and you will be left with a private mortgage as your only option.
How To Qualify For a Mortgage With Bad Credit
There are actually more reasons why a mortgage will fail to come together than you could imagine. The qualification process is a complex mix of rules and restrictions that can make your head spin.
If you have bruised credit, or a lack of credit, the process just became harder.
In order to do so it will take a concerted effort and some creative problem solving skills. I take the mystery out of the qualification process and bring you my ‘A’ game to assist in getting the job done.
Can I Refinance My Mortgage With Bad Credit?
The short answer to this question is it depends. We need to look at your existing mortgage and see if it makes financial sense to alter it and if you have the other factors to refinance like your income and the property’s value in order.
There are many situations where refinancing your mortgage with bad credit makes sense.
Refinancing your existing mortgage with bad credit may cause you to move from a better interest rate lender to a worse interest rate lender for a short period of time while healing your credit.
Then after this time has elapsed (typically 1 – 2 years) we can move your mortgage back to the bank.
Who Is The Best Mortgage Lender For Bad Credit?
Finding the best option takes more digging into the contract and looking at many more factors than just the interest rate being offered.
I look at all the aspects of your best mortgage for bad credit. This includes the early mortgage penalty, if you can take this mortgage with you to a new property, and what happens if you want to renew with this lender at maturity or not.
And getting you the best interest rate, even with bad credit, is definitely a key part of the process.
Helping You In Ontario With Bad Credit Mortgages
I can help you anywhere in Ontario with your best mortgage for bad credit. My lender network can be used anywhere you are in Ontario. If you’re in the GTA or as far north as Huntsville/North Bay, I can meet with you in person.
So what is at stake when it comes to letting the bank try to make you feel like you aren’t worth their time because of your credit? Or worse their rejection of your application for your mortgage?
Spending your golden years worrying about high credit card debt?…Creditors forcing you out of your home?…Seeing your children not be able to get a home?
No, that’s not how your story ends. Now is the time to take back control of your finances and become the hero one more time. Contact me today and let’s get you the mortgage you need. Your family’s gratitude is worth it!