As said earlier, there are Mortgage lenders willing to work with you even after bankruptcy. They are referred to as the B-C-D Lenders and can be found almost everywhere in the United States. They finance mortgages for those who are not qualified for conventional mortgages. But be ready to pay high fees and interest rates. Bankruptcy affects your credit score in a direct manner. Majority of this mortgage lenders use you credit score as a factor to know if you qualify for a mortgage and assess the level of risk you create for them. With the presence of “BANKRUPTCY” in your credit report and history, it is suggested that the level of risk you pose to the lender is High, This is why these lenders ask for a higher fee and places a higher interest rate because they feel this way, they will be recompensed.
Please keep in mind that these alternative mortgage programs have a principle or requirements on which loan will be approved. Your application for a mortgage may be approved or rejected based on your ability to meet these requirements. Most of these lenders have requirements. If you try a mortgage lender and you can not meet some of these requirements which mean you can not qualify for the lender’s loan, try other ones. Let us assume that a loan program requires not less than 20% down, a credit score of 580 or more or no late payment on your rental history for the last one year, a different loan program may have identical requirements but will accept a credit score of 550.Firstly, You should think about each loan program and make sure the one you choose fits into the one that will have a good influence on the approval of your mortgage. If one does not have a good effect and will not aid in the approval of your mortgage, please find another. Keep searching till you find the one that suits you.
Seek information and advice from a mortgage broker who has knowledge and skills in mortgage after bankruptcy. This is the best way to find out precisely if you qualify for mortgage after bankruptcy or you do not. A mortgage broker can obtain your data, check your financial condition, search for alternative loan programs and compare the prices and everything that has to do with them. They can be in the best position to know which of these mortgage lenders will be ready to do business with you even after going through the Bankruptcy experience. for more helpful articles from mortgage professionals, Click here
