| If you have bad credit history, no down payment | | | | for the same qualifications, you could be talking |
| or difficult to prove income and are looking to get | | | | about hundreds of dollars a month extra in |
| approved for a home mortgage loan, you will | | | | payments just because you are not getting a fair |
| probably need to look at subprime mortgage | | | | interest rate for your qualification. This is where |
| lenders to help you. To see a list of our | | | | the borrower needs to be careful. Make sure you |
| recommended subprime mortgage lenders you | | | | are getting the best interest rate possible with |
| can click on the link below. | | | | your subprime lender. Some subprime lenders |
| There are a few things to know about subprime | | | | take advantage of borrowers with bad credit or |
| mortgages lenders. They specialize in providing | | | | hard to approve situations, and they charge much |
| mortgage loans for people with less than ideal | | | | more in interest than what is fair for to the |
| situations, whether it be difficult to prove income, | | | | borrower. |
| low or poor credit scores (most often the case | | | | Another way subprime mortgage lenders can |
| with subprime mortgages), or no down payment | | | | take advantage of unsuspecting borrowers is by |
| (this factor alone will not necessarily put you in | | | | the lender having a pre-payment penalty on the |
| the subprime loan category). | | | | loan that is unreasonable and not fair to the |
| The interest rate on a subprime mortgage loans | | | | borrower, based on their qualifications. A typical |
| will be higher than any other type of mortgage | | | | subprime mortgage loan will have a 6 month to a |
| loan where credit, income and down payment are | | | | 2 year pre-payment penalty. However, |
| all optimal. However, with subprime mortgage | | | | sometimes a subprime lender will offer a loan with |
| loans, as a borrower, you need to be careful | | | | a 3 year or higher pre-payment penalty. That is |
| about a few things when dealing with subprime | | | | too high, I think a 2 year pre-payment penalty is |
| mortgage lenders. | | | | high, but any higher than that, and you should |
| The interest rate with subprime mortgages can | | | | probably keep looking for a new lender. |
| vary greatly. There are some subprime mortgage | | | | Other than a couple of things to be careful of |
| lenders that, for the same set of qualifications, | | | | when dealing with subprime lenders, getting |
| can offer an interest rate of say, 7%, which is a | | | | approved, even with a slightly higher interest rate, |
| little above average, and then there will be others | | | | can be a really great thing for you to buy the |
| who will quote 9-12% or more. Now, if this is all | | | | home you want. |