Can’t Get a Bad Credit House Loan? – Try Repairing Your Credit

Can’t Get a Bad Credit House Loan? – Try Repairing Your Credit

Being unable to refinance your home loan when you have bad credit is becoming a reality for many home owners across the country. With the recent mortgage meltdown almost of all of the sub chief lenders offering bad credit house loans have all but disappeared. This is leaving a huge void in the market for many people who need to refinance their mortgages and cannot qualify for traditional loans. This leaves them very unprotected to rising adjustable mortgages and possible foreclosure.

If you find yourself with less then perfect credit you can first try to obtain financing by the FHA but already their programs are now starting to require credit scores of at the minimum 580 and sometimes 600. You will also need timely mortgage payments for the last 12 months in order to qualify for FHA home loans.

What You Can Do If Your Credit Score Is Low

If your credit score is under 580 you may want to look into some sort of credit repair. For cash strapped home owners the best method is to do the credit repair yourself. This is not a hard thing to accomplish and with the right credit repair kit you can accomplish it very quickly with minimal effort. The meaningful however is making sure that you buy the right kit that includes the following.

Detailed Plan– You want a detailed step by step plan that you can follow to increase your score in the shortest time possible so you can get refinanced into a better loan with lower payments.

argument Letter Forms– The argument letter is the back bone of the credit repair effort. Without a good letter the credit agencies may dismiss your case as frivolous making you have to work much harder. However with the right argument letter your efforts will be much more effective.

New Credit supplies– Fixing your credit is much more then just removing old negatives, you must establish new accounts and the right amount of these accounts to further increase your score. Without any new accounts in your profile your score can stagnate, in order to be successful you must know where to go to get new credit!

Low Price– A good self credit repair kit should not cost hundreds of dollars. In fact there are many good kits on the market that you can down load right to your computer that cost less the $75. This is much less then credit repair companies charge for one month of service, so in the end you will definitely come out ahead by doing it yourself!

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