Posts Tagged ‘FHA Mortgage’
Every month that you pay rent is a month that you are virtually wasting money. Obviously you need somewhere to live but instead of paying someone else’s bills why don’t you pay your own and buy a home. Bad Credit is the biggest thing that stops people from buying homes. Many people believe that they can never buy a home because of bad credit and they simply give up and continue to pay rent. Well the good news is there are programs out there for people who have bad credit.
The FHA loan was created for lower income houses and people with bad credit. The down payment for these loans is only 3.5% of the total lending price. This is the first thing that attracts people to FHA loans.
An FHA loan can only be used when you are financing a primary residence. It cannot be any kind of investment property. The income and credit restrictions are very specific and you must have had 12 months straight free of any delinquencies. One of the things that catch most people’s fancy is the only 3.5 % down payment.
If you are a military veteran or are currently enlisted you could qualify for a VA loan. The VA loan was created to help our service men and women get into homes and house their families. The credit requirements are very low, and the residual income is easily achieved by most people. You must have a 12 month period of perfect payments on all debts. Spouses of military personnel are also eligible.
Now that you have a little bit of a better idea on how you can qualify for a loan with your bad credit. Even if your credit isn’t quite up to par and you have recent delinquencies, now you know that only 12 months of positive payments is all it takes. So get your finances on track and prepare to be a home owner.
Learn more about mortgages for bad credit people and about mortgages for bad credit people
I’m going to show you some tricks to save money on your utah home loan that the other lenders won’t be happy about.
The 1st Thing
Don’t give out your Social Security number or income/asset information until you KNOW what that Utah mortgage company can do for you!
Most Utah home loan companies will try to get this out of you just as soon as possible so you don’t shop around with other companies.
The lenders know that many people won’t give this to too many other lenders, so if they can get it from you upfront, the less likelihood there is of you getting multiple quotes from other companies.
DON’T do it. Make them give you their best quote first and then, if and when you decide to use that Utah mortgage company THEN you can send them the documents they need.
(If you want, you can always just tell them in person or on the phone what your income is, what your credit is, etc. Just be sure to not email or fax any official documents until you have their best quote and you have commited to using that company).
Item 2
Don’t pay for any upfront or application charges to any Utah home loan companies.
The only reason they do this is to further get you committed to using that particular Utah home loan company and to entice you not to shop around. If the lender tries to get you to pay for things upfront–even small things like pulling credit, the best thing to do is just say no and find a better lender).
The third step
Beware of third party fees being Low-Balled
Utah mortgage lenders can always decide what they will charge but NOT what other institutions such as title, escrow, inspection, and appraisal will charge.
However, a lot of times lenders will low-ball those fees to make their overall quote look more competitive than someone else’s. Just be sure to double check these fees closely!
Always make sure you are careful of any charges like taxes and insurance, etc. that appear to be really low.
Remember, when comparing mortgage offers, the best thing to do is to compare just the lender fees because nearly all of the other 3rd party charges won’t change a whole lot when you compare one Utah mortgage lender to Utah mortgage company.
To learn more about a Utah Mortgage Lenders, stop by my site where you can find out all about how to get The Best Mortgage Quote and how you can save money!
