Poor Credit Does Not Always Mean Poor Mortgage Rates
A few decades ago it was difficult for those with bad credit to purchase a mortgage. Usually lenders were apprehensive about approving a loan for people who may not pay it off, and may not have enough collateral to insure the contract. Well, guess what? Times are changing! Not only can people with less-than-perfect-credit apply for mortgages, but they can also be approved with possibly low mortgage rates.
Mortgages for people with poor credit are known as sub-prime or non-prime mortgages. However, if you are qualified for a sub-prime mortgage, you are most likely not to be addressed with that title, as it is not considered so appropriate or proper. Of course, lenders want to make their services sound positive and opportune, so the more proper phrase will be specialty financing or a loan for imperfect credit.
You will not be treated with any less respect or consideration than those with perfect credit. Lenders want your business, they want to help you get a loan and afford that home you have been eyeing. Most lenders will offer unwavering, friendly customer service and constant advice and information to help you choose from your options.
You should know if you are a sub-prime customer that you should compare prices and loan options before choosing a lender or a loan. Even if you are ecstatic just to be offered a loan with your horrible credit history, there is a chance you can get an even better deal, or you will find a lender who better accommodates you and your needs.
Lenders remind you that you should not be ashamed ton shop around and apply for a mortgage with less than perfect credit. You should be comforted in knowing that you are certainly not the only one in your situation, and there are tons of other people out there in the exact same situation! Don�t cheat yourself, and keep looking until you are satisfied with your options and choices.