- "It's impossible to get low down payment loans." - UNTRUE!
FHA down payments are only 3.5% and VA is 0%. In some areas, there may be some 100% USDA loans available.
- "It takes perfect credit to get a loan." - UNTRUE!
There is a relationship of better rates to better credit but many issues on a credit report may be explained. The way to know for sure is to speak to a reliable lender.
- "If I've had a bankruptcy or foreclosure, I can't qualify." - UNTRUE!
Credit history following a short sale or foreclosure is very important and there can be extenuating circumstances. It only takes a few moments with a reliable lending professional to find out if your individual situation will allow you to qualify.
- "Getting pre-approved is expensive." - UNTRUE!
Usually, the only expense to getting pre-approved is the cost of the credit report which could be around $35. The advantage is that you will know that you qualify for a particular mortgage amount.
- "I should wait to qualify until I find a home." - UNTRUE!
The best interest rates are only available for the highest credit scores. It can take time to qualify for a mortgage especially if there are issues that need to be corrected. It is to your advantage to start the qualifying process early in your home search.
- "All lenders are the same." - UNTRUE!
Reliable lending professionals will explain the entire process before collecting fees, quote fees up-front, have competitive products, do what is necessary to get the loan approved and close at the locked rate and terms. Ask for recommendations from recent borrowers.
Monday, April 4, 2011
Posted by Susan at 2:00 PM