Bad Credit Home Loans in Nokomis Illinois

We specialize in loans other banks turn down

If you have been turned down for a conventional mortgage due to the property type, source of income, or a credit hiccup we may be able to help. Call us today at 888-882-1058 or submit an online request. We offer program’s designed to help borrowers who have had a previous bankruptcy or foreclosure. We also have a loan program for self-employed borrowers.

The bad credit mortgage is often called a non-prime mortgage or alternative lending and is offered to Nokomis homebuyers with low credit ratings. Due to the low credit rating, conventional mortgages are not offered because the lender sees this as the homebuyer having a larger-than-average risk of not following through with the terms of the loan. Lenders often charge higher interest rates on non-prime mortgages in order to compensate for the higher loan default risk that they are taking.

If you have a poor credit score a larger down payment may be required. In most cases gift funds are allowed.

bad credit home loan

Apply now for a Bad Credit Mortgage in Nokomis 888-882-1058

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Candidates For Nokomis Bad Credit Mortgages

Some people with poor credit profiles or a small down payment may have trouble borrowing from conventional lenders. One alternative to consider is obtaining a Federal Housing Administration loan or a non prime mortgage. These loans have liberal underwriting requirements which allow people to purchase a home with a poor credit score and as little as a 3% down-payment. Non Prime and FHA borrowers can qualify with credit scores between 500 and 620. Veterans may want to explore low-cost VA loan opportunities.

Most borrowers use a non prime mortgage with the home buyer planning on refinancing at some point into a more appealing loan with a lower rate. However if the homeowner still has outstanding credit issues or the mortgage market tightens up then they might not be able to refinance. The higher rate can cause a prohibitively higher monthly payment, & an inability to refinance can mean a loss of home ownership.

The below items are the general guidelines that can be used as a rough rule of thumb when determining whether a consumer may be a candidate for a non prime, FHA or VA loan:

  • 1 Day out of Foreclosure, Bankruptcy, short sale, deed-in-lieu.
  • Loans up to $1 million
  • Credit scores down to 500
  • Up to 100% LTV
  • DTI up to 50% considered
  • Owner-occupied, 2nd homes, and investment properties
  • Non-warrantable condos considered
  • Jumbo loans down to 500 score
  • 5/1 ARM or 8 – 30-year fixed
  • No pre-payment penalty for owner-occ and 2nd homes
  • No active tradelines OK with housing history
  • SFRs, townhomes, condos, 2-4 units
  • Seller concessions to 6% (2% for investment)

Poor Credit Home Loan

Apply even with Poor Credit 888-882-1058

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At Smart Mortgage Centers creditworthiness is not determined exclusively by credit scores. A couple of missing credit card payments does not mean that a consumer is doomed to receive double-digit interest rates. The only way to know where one stands is to apply for the loan and speak to a Smart Mortgage Centers professional.

Nokomis is the name of Nanabozho’s grandmother in the Ojibwe traditional stories and
was the name of Hiawatha’s grandmother in Henry Wadsworth Longfellow’s poem, The Song of Hiawatha, which is a re-telling of the Nanabozho stories. Nokomis is an important character in the poem, mentioned in the familiar lines.in Ojibwe Nokomis means Grandmother.

According to the poem, From the full moon fell Nokomis/Fell the beautiful Nokomis. She bears a daughter, Wenonah. Despite Nokomis’ warnings, Wenonah allows herself to be seduced by the West-Wind, Mudjekeewis, Till she bore a son in sorrow/Bore a son of love and sorrow/Thus was born my Hiawatha.