Mortgage rates for bad credit
Mortgage rates for Bad Credit Mortgages.
Most people fear when they ask about mortgage rates for bad credit, cringe. typical for bad credit.
This is far from the truth because in today’s market place, mortgage rates for bad credit have actually decreased substantially from 2008 when the sub prime mortgage landscape began changing.
Up to 2008 the sub prime market’s main players were Exceed Mortgage Corp., Accredited Home Lenders, Hsbc Finance, GE Capital, and some other lesser know lenders with very similar programs. During those years, borrowers with unacceptable credit saw rates from 6 to 9.9%, with administrative fees as much as 4% of the amount borrowed.
Today, these rates fall within a close range from 3.99 to 5.74%, with the majority being around the 4.5% to 4.99% range. Fees it they are charged by the lender are typically 1%. See our Alternative lending rates here.
If you consider that for conventional financing, as of today rate, the typical good rate for a 5 year term is 3.04%, a 1.5% to 2% extra for the bad credit, is not bad at all. True that we may be talking for a 1 to 2 term only but on the other hand, a bad credit situation, ought to be considered a ” temporary” solution and what sets a good broker apart is the ability to capture the borrower and work with them during the transition phase in order to improve their credit sufficiently to eventually move them to a better priced mortgage and lender.
This is how we earn our good reputation as a Bad mortgage expert.
When you are looking for a bad credit mortgage solution, do not settle for any less.
Better yet, call us directly and we will be glad to help you. Call us at 1-877-237-2601 today.