Bad Credit Home Loans in St. Jacob Illinois
The bad credit mortgage is often called a non-prime mortgage or alternative lending and is offered to St. Jacob 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.
Candidates For St. Jacob 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)
Apply even with Poor Credit 888-882-1058
James, son of Zebedee (Hebrew: יַעֲקֹב, Yaʿqob; Greek: Ἰάκωβος; Coptic: ⲓⲁⲕⲱⲃⲟⲥ; died 44 AD) was one of the Twelve Apostles of Jesus, and traditionally considered the first apostle to be martyred. He was a son of Zebedee and Salome, and brother of John the Apostle. He is also called James the Greater or James the Great to distinguish him from James, son of Alphaeus (James the Less) and James the brother of Jesus (James the Just). James the son of Zebedee is the patron saint of Spaniards and Portuguese, and as such is often identified as Santiago or São Tiago.
The son of Zebedee and Salome, James is styled “the Greater” to distinguish him from the Apostle James “the Less”. He was the brother of John, the beloved disciple, and probably the elder of the two.[1]