Credit Options for Poor Credit First Time Home Buyers
Poor credit may put a first time home buyer on a shaky ground on his wish to own a <a href='http://homesforsalechulavistaca.com/'>Chula Vista home</a>. While this can be viewed as a major difficulty, you can perhaps see this as a challenge. A poor credit might mean not being able to land on a mortgage or if ever you will the interest is higher than usual. Moreover, having poor credit means your potential lender is at risk.
You may not be able to improve your credit as soon as possible but you can try to fix it. Even a single difference could mean thousands of dollars more than the usual interest so here are some options for you:
1. Examine your Credit Report Check your credit history from all your primary credit assessors and examine them carefully. Look for possible errors on your mortgage loan history and request the company to remove it from your history through writing an articulate letter. You don't need to go to a lawyer for this. You can ask a friend who has experience in this matter to help you.
2. Find a Flexible Seller Flexible sellers are sellers who are selling homes that are still on the market for months. You can find these kinds of homes under the category Owner Carried Mortgage, Owner Financing, or Contract for Sale. With these kinds of sales, you can make payments to the owner and not to the lending company. This mode of payment means that you won't have to pay lender's fees, you can avoid some loan hassles, and your interest can be close to the market rates.
3. Know other options Find other options aside from finding flexible sellers and checking your credit report like the Lease with Option to buy where you can sign a contract with the landlord. But of course since you have a poor credit, you have to make sure that you make timely lease payments. There are other options as well which you may be surprised to see sellers eager to sell their properties at newspapers or some ads.
Home ownership can become a reality even to those first time home buyers with poor credit. It might be difficult in the beginning but as you look around you can see that there are some options available for you.
Buying homes can be a very complicated experience given the rising mortgage insurance that reduces qualified home buyers. However, make sure that you consult real estate experts who knew the ups and down, recent trends and changes.