Work with a broker, not just your bank
When your credit is less than perfect, the worst thing you can do is apply at one bank, get turned down, then apply at the next. Your bank can only offer its own programs, and if your file does not fit them, the answer is no. A mortgage broker works with multiple lenders, each with different appetites for different credit issues. One may be flexible on a recent bankruptcy, another on collections, another on self-employed income. Knowing those differences is where we earn our keep.
Protect your score while you shop
Each credit report a lender runs can lower your score a little. When you are close to a program cutoff, a few points matter. Here is how we help you avoid unnecessary damage.
- One application with us can be shopped to multiple lenders
- We tell you up front whether you are likely to qualify, before anything is pulled again
- We point out quick wins, such as paying a card below 30% of its limit before applying
- We never push you to open new credit while your loan is in process
Programs that open doors
| Feature | What it offers | Best for |
|---|---|---|
| FHA with 10% down | Scores from 500 | Lower scores with some savings |
| FHA with 3.5% down | Scores from 580, 100% financing in some cases | Rebuilding credit, limited savings |
| VA loans | No VA minimum score, lender standards vary | Veterans and service members |
| Bank statement loans | Income from deposits, not tax returns | Self-employed borrowers |
| FHA Streamline and VA IRRRL | Simplified refinance later | Lowering the rate after rebuilding |
What to have ready for your first call
- Recent pay stubs, or bank statements if self-employed
- Two years of W-2s or tax returns
- Bankruptcy discharge or plan paperwork, if any
- Rough idea of your monthly debts
- Any explanation of past credit events
- Your target price range or current home value
