Bad Credit Loan - Bad Credit Home Loan

Bad Credit Mortgage Loans - Where To Find Bad Credit Mortgage Loans

Are you trying to purchase a home or refinance an existing mortgage? Do you already know that your credit will be an issue and it will be hard to find a lender that will work with you? There are ways around bad credit when you want to purchase a home or refinance an existing mortgage. There are plenty of bad credit mortgage loans that you can get. Here are some of your options.

If you are trying to refinance, then you really only have one option and that is to find a mortgage company that deals with bad credit. They will probably not give you the full value of your home in a loan, but they will be able to do something for you provided that you make enough money and have enough equity in your home.

If you are looking to purchase, then you have several options.

First, you can also find a lender that will work with you even though you have bad credit. They will require a pretty good sized down payment, but sometimes you can get a government backed loan that has a smaller down payment. Check with your local FHA office.

Second, you can do what is called a land contract. This is like a mortgage with a balloon after one, three, or five years. This is a contract between you and the owner of the home that will make you the owner of the home and them the mortgage company. After the contract is up you will be able to refinance this as a real mortgage so this will buy you time to fix your credit and buy a home at the same time.

Third, there is always the lease to own or rent to own option. There are many propeties that will do a rent to own deal with you that will basically use a portion of the rent you pay for 12 to 24 months towards the down payment on the home if you decide to buy. The best part about this is that you do not have to buy at the end of the contract.

Last, there is one last option, but it is a last resort. There are now mobile home parks that do bad credit mortgage loans in the form of a buy here pay here type of deal. You are paying to own the mobile home or manufactured home, but it is financed through the owner of the park like a buy here pay here car.