If you are looking to buy a house or trying to refinance the one you are currently living in, but believe this may not be a possibility for you because you have bad credit, think again.
Just because you have bad credit does not mean you will not be able to get a mortgage. In fact there are several lenders out there across the United States that are known as wholesale lenders that specializes in lending money to people with bad credit.
The names of these wholesale lenders may not ring familiar to you because they are not the usual lending institutions you see on the street corners of your town, otherwise know as banks.
The first thing you will need to do is locate a few of these wholesale lenders and shop around for a deal you believe to be fair. If you do not have success finding these lenders on your own, you may want to consider using a broker and have them shop around for you.
A broker is not a lender. What they do is assess your situation, and then look for a lender or Bank that deals with bad credit.
Brokers have connection to hundreds of banks and lenders across the country and they can usually find one that has a program that may fit your needs.
Using a broker may not be such a bad idea, they are usually very experienced in their field and will not only find a bad credit mortgage lender for you, they will also council and educate you along the way.
Keep in mind, just because your credit may be less than perfect, does not mean that you are at the mercy of the mortgage companies, you are not.
Mortgage companies are very competitive, especially among the wholesale lenders, so be sure to shop around. Don’t limit yourself to contacting only one broker, say no more than four. Allow for each to assess your situation, and base your decision from on the rate and program that they offer you. Good luck and Happy Hunting!