Is a Second Chance Loan Right for My Mortgage?
The last few years have been difficult financially for most individuals and families. Issues ranging from long-term unemployment to the housing bubble that affected many cities have left individuals with previously stellar credit with blemishes and lower credit scores. While the issues range from late payments to foreclosures or short sales, thanks to the recent economic improvements many people are getting back on their feet. If you’re one of those individuals, you’re probably wondering – are there mortgage options that can help you reach your dream of home ownership even if you’ve had credit troubles in the recent past?
The good news: second chance loans
The answer is yes. While traditional banks or credit unions may be hesitant to make a home loan to someone with a recent foreclosure or job loss, there are a number of alternatives to consider. Money is available from private individuals and institutions with more flexible lending portfolios. Initial interest rates may be higher than the industry average, but this may be your key to rebuilding stellar credit. Speaking to an experienced mortgage lender with connections that include second chance loan providers is the first step toward understanding your options.
You’re more than a number
Second chance loan providers understand that you’re more than just your credit score. In addition to your credit history, these lenders dig deep to understand what happened to get you off track and what steps you’ve taken to get your life back on an even keel. They look closely at factors such as whether you’ve become reemployed, whether you’ve paid down debts, how your recent payment history looks, and other factors. Understanding the story behind what happened and what steps you’ve taken to improve your current situation provides a better foundation for making important credit decisions.
Keep an open mind
Many individuals that have faced recent financial difficulties have talked themselves out of their second chance at home ownership. It’s easy to assume that no one will place their trust in you, but it’s important to remember that it’s not true. Everyone faces financial hardships at one time or another. If you’ve made honest efforts to rebuild your financial life and you’re headed in the right direction, home ownership may well be within your reach.
Are you a Las Vegas area resident that would like to learn more about second chance loan options? Contact Sydnee Johnson today to arrange for a personalized consultation to discuss your unique situation, goals, and learn more about whether alternative mortgage vehicles might be right for you.