Mortgage Solutions for Lower Credit Scores

Getting a mortgage when you have less-than-perfect credit can seem like a challenge. While it’s true that lower credit scores may make it difficult for borrowers to qualify for the best conventional mortgage rate, it doesn’t necessarily mean a home loan is out of the question. In fact, there are several mortgage options available to lower credit borrowers in today’s marketplace. In this post, we’ll highlight a few of these programs and provide links for more information.

FHA Loans

The Federal Housing Administration (FHA) is a government agency that insures certain types of home loans designed to help make homeownership more accessible. FHA loans are offered only through FHA-approved lenders, have low minimum down payment requirements and typically offer more flexible credit score guidelines. If you’ve had a recent credit event, are working to rebuild your credit or don’t have much credit history, an FHA loan may be a good fit for your home financing needs.

FHA loans also offer competitive interest rates, making them a more affordable option for many buyers. And since most FHA loans only require a 3.5% down payment, home buyers who choose this option can save money at the closing table.*

Simple Access™ Home Loans

Like the name implies, Simple Access™ home loans are home financing solutions designed to make getting a mortgage simple for borrowers who have not-so-simple scenarios. For example, some home buyers may not be able to provide traditional income documentation due to being self-employed. Or, some borrowers may have significant assets but lack the ability to provide consistent income documentation. Finally, borrowers who have had recent credit setbacks or are working to improve their credit scores may not qualify for conventional financing, or they may not qualify for the best rates. With Simple Access™ home loan solutions, borrowers with complicated situations may be able to access home financing more easily and at a more reasonable cost.

Here are a few of the Simple Access™ home loans we offer at Luxury Mortgage Corp®*:

Asset Qualifier – Ideal for borrowers with substantial assets but who lack traditional income documentation/employment.

Bank Statement Qualifier – Designed for borrowers who would rather use balances in deposit bank accounts (business or personal) to qualify, instead of W-2s or tax returns.

Investor Cash Flow – An option for real estate investors who would like to use the cash flow on the subject property to qualify for the new loan.

All three of these Simple Access™ home loan options allow credit scores as low as 580. Want to know more about Simple Access™ home loans?

*Rates and guidelines subject to change.