Four Little Home Financing Secrets The Banks Don't Want You To Know

Posted on: 29 September 2017

From the time you are a young adult, it gets drilled into your head that you have to have twenty percent to put down on a home and your credit scores have to be stellar. Then you meet someone who looks like he/she does not have two nickels to rub together, and you wonder how he/she managed to buy a home. Hold onto the seat of your pants, because here are some little home financing secrets the big banks do not want you to know!

Yes, You Can Get a Home with NO Money Down

You can get a home with NO down payment. It is better if you do have a down payment because it decreases your overall accumulated interest on the loan. However, there are a number of programs that you can apply for which can get you into a house today. Just make sure you have enough for taxes, insurance, and closing costs on the day of the sale.

Yes, You Can Get No Credit Financing

If you have zero credit history, you can still get a home. This surprises many people, especially those who got a free ride through college and never once fell for the promotions credit card companies use to get college kids to sign up for credit cards. You will need to go through a mortgage broker in order to get this kind of financing, but when you are ready to buy a house it is so worth it.

Yes, You Can Buy a Home after a Bankruptcy

Bad credit, no credit homes, and even recent bankruptcies do not prohibit you from finding a program or lender that will help you buy your first home. In fact, with President Obama's First Time Homebuyer's tax credits, more and more people with bad credit and bankruptcies do not have to concern themselves with the appearance of less than perfect credit histories and painful financial histories.

Yes, There Are Online-Only Lenders Who Offer These Programs

Most people think that they have to go into a brick-and-mortar place to get a "real loan," but the truth is that online-only banks are real banks. They just bypass a lot of the usual stuff that normally jacks up the expenses and the risk factors for lending money so that they can make loans more readily available to those that need them. Just make sure you apply only to reliable lenders that carry the FDIC-insured stamp so that you know they are the real deal

Contact a company like SWE Homes for more information and assistance.