It’s an awesome time to buy a home in America. Interest rates are at incredible lows, and home prices are at the lowest they are expected to be for at least a decade. Unfortunately a huge portion of the population has been hurt by the recent crises and are finding their credit is holding them back from qualifying for home mortgages. So how can individuals still take advantage of the current market, even if they have bruised credit?
The Urgent Need to Buy Homes
This is a fantastic time to buy a home. With rates and prices so low many may find that they can buy a home for far less than they are paying in rent, or even move up to a larger and newer home. In fact, according to the latest data it is now half as expensive to buy a home as renting.
However, the benefits of buying now are even bigger than just locking in great payments now. According to US Census statistics, even in San Francisco median incomes have been decreasing, while rents and housing prices have been rising. With home builders and massive funds moving in to take over large chunks of the nation’s real estate and converting them to rentals which are far from ‘affordable’, many more will simply be priced out of housing altogether if they don’t buy now.
In contrast; those that buy houses now will enjoy low housing payments for as much as the next 30 years until their homes are paid off, and owned free and clear.
So how do you manage to finance and purchase a home right now, even if you have poor credit?
2 Paths to Homeownership
For those with minor credit issues, negative items that can rapidly be removed, or that have erroneous items being reported, credit repair services like Credit Repair Program can often help boost scores in a short amount of time. This might be all that is needed.
However, even for those with more significant credit challenges such as recent foreclosures or bankruptcy, or federal tax liens, there is still hope of locking in great house deals right away. Through taking advantage of creative financing and seller financing structures even those with no and bad credit may be able to purchase home immediately while they work on fixing their credit. The key is knowing the essential financial and crucial credit moves to make.
Look out for our soon to be released email course and book ’The Perks, Profit & Perils of Seller Financed Real Estate’ which lays out all the incredible financial advantages and costly pitfalls of owner financed property, and how to navigate them.