Fixing Credit To Qualify For Home Loan

Tips In Fixing Credit To Qualify For Home Loan

It is highly recommended for home buyers or homeowners thinking of refinancing in checking their credit and credit reports for any errors they may have on their credit reports and see if they can maximize their credit scores so they can qualify for a mortgage loan and if they do qualify for a home loan, have the best credit scores possible to get the best mortgage rates. Mortgage rates are determined by the mortgage loan borrower’s credit scores and the higher the borrower’s credit scores are, the lower the mortgage rates the borrower will have.

Quick Tips In Improving Your Credit Scores

There are some quick tips where you can boost your credit scores. If you have maxed out credit cards, the chances are that you will have lower credit scores. Paying down your credit card balances will definitely boost your credit scores. The higher your available credit balance is, the more positive impact it will have on your credit scores. Having no active credit trade lines will have a negative impact on your credit scores. If you have no active credit trade lines, you should get three to five secured credit cards with at least $500 credit limits. Each one of those secured credit cards should boost your credit scores by 10 to 20 FICO points and as those secured credit cards ages, it will have more of a positive impact on your overall credit profile. As your secured credit card ages and you develop a perfect payment history with the secured credit card company, the secured credit card company will eventually get you a credit limit increase without having to put any more additional deposit. Once you have a timely payment history with your secured credit cards and your credit scores are at least 700 FICO, you will be able to qualify for traditional unsecured credit cards. Do not apply for unsecured credit cards if your credit scores are below 700 FICO.

Credit Repair Prior To Applying For Mortgage

If you are planning in enrolling in a credit repair program, make sure you do it well in advance of applying for a mortgage loan. The main reason is because credit repair involves disputing negative credit items to the three credit reporting agencies and there are strict mortgage lending guidelines when it comes with credit disputes during mortgage process . You cannot have any credit disputes on non-medical collection accounts with credit balances that totals $1,000 or more ( total of unpaid collection accounts ) to qualify for a FHA Loan. You need to get the credit disputes retracted in order for the mortgage process to proceed. You can qualify for FHA Loans with unpaid collection balances and charge offs. Charge off accounts and medical collection accounts are totally exempt and do not count under FHA federal mortgage lending guidelines. However, if you have more than $2,000 of unpaid collection account balances of $2,000 or more on non-medical collection accounts, then 5% of the unpaid collection balance will be used to calculate the mortgage loan borrower’s debt to income ratios. Cases where the mortgage loan borrower has a large collection account balance like $10,000, then 5% of the $10,000 unpaid collection balance or $500 will be used as the mortgage loan borrower’s monthly debt and will be used to calculate their debt to income ratios even though they do not have to pay the $500 per month. For those mortgage loan applicants with large collection account balances and prior bad credit, it is highly recommended that they start a credit repair program to see if they can have their collection accounts and negative credit items deleted off their credit report. However, credit repair does take time and home buyers should start credit repair program well ahead of time of them actually applying for a mortgage.

Hard Money Capital Group

Welcome To Hard Money Capital Group

Hard Money Capital Group is a hard money and private money lender that caters to real estate investors, real estate developers, and property flippers who need fast temporary financing. Hard Money Capital Group, www.hardmoneycapitalgroup.com , has no loan minimum and can fund loans as little as $20,000 and close it in as fast as one week. Most hard money lenders want a minimum of a $100,000 loan minimum and most hard money lenders may take as long as 30 to 90 days to process a hard money loan. Hard Money Capital Group‘s management staff consist of professional real estate investors, mortgage loan professionals, and real estate professionals so they understand the importance of fast financing and understand that many real estate investors went through bad credit due to the 2008 Real Estate and Mortgage Meltdown.

Does Hard Money Capital Group Have Credit Score Requirements?

Hard Money Capital Group does not have any credit score requirements. Hard Money Capital Group is an asset based mortgage lender and want the hard money borrower to have skin in the game. Minimum equity and/or down payment requirements to qualify for a hard money loan with Hard Money Capital Group is 35%. 100% financing is available if the hard money borrower can cross collateralize other properties. Hard money borrowers with bad credit or lower credit scores can qualify for hard money loans with Hard Money Capital Group. While the hard money loan borrower utilizes the hard money loan, Hard Money Capital Group can help the hard money loan borrower fix and improve their credit through its sister company, Credit Fix Advisors , and help them with an exit strategy with a traditional mortgage lender, Gustan Cho Associates . Gustan Cho Associates are commercial and residential mortgage professionals whose specialty are no mortgage lender overlays . Gustan Cho Associates are creative mortgage lenders, portfolio lenders, and have access to specialty mortgage lending programs such as Doctors Funding Group . Doctors Funding Group offers unsecured financing to doctors, dentists, veterinarians, chiropractors, pharmacists, nurses, and other licensed members of the healthcare community for as much as $500,000. Hard Money Capital Group is different than any other hard money lender because every hard money client is a lifelong borrower and they offer full service not just funding the hard money loan, but also assisting the hard money loan borrower with credit repair, and helping them with an exit strategy.

Fix Rehab Flip Loans

Fix Rehab Flip Loans are one of the most popular hard money loan programs. Most traditional mortgage lenders do not want to originate and fund loans under $100,000. However, we at HMCG can fund hard money loans as small as $20,000, the hard money loan borrower can rehab the property and flip it at a handsome profit. For hard money borrowers who want to keep the investment property and keep it as a rental after the rehab, they can get a hard money loan with HMCG , fix the property and get end financing with Gustan Cho Associates. During the time of the rehab, HMCG will help the hard money loan borrower maximize their credit scores and do credit repair so they can get the best mortgage rates and terms on their end financing.

If you are interested in a private money or hard money loan that can close in a week, please contact HMCG at 800-900-8569. One Solution Real Estate, www.onesolutionrealestate.com, full endorses Hard Money Capital Group.