Can you get approved for a home loan with bad credit? So, you want to get a
home loan but you have some bad marks on your credit. Well, it's still possible.
There's a process that you're going to have to go through and there's some tips and
some tricks but I can tell you exactly how to get it done. Let's go.
I'm going to tell you the number one way to get approved for a home loan with bad
credit. The second thing I'm going to tell you, some unknown tips on what lenders
look at so that you can get approved and show them exactly what it is that they
want to see and what they don't want to see so that your loan does get approved.
And then last but not least, I'm going to share with you the top secret to get
your loan approved with bad credit in a matter of weeks, not months. So, let's talk
home loans, let's talk mortgages, okay? Home loans, mortgages, this is the
financing that you need when you are buying a home. And if you have bad
credit, it can make the process a little bit more daunting. And in many cases,
people will tell you you can't get approved at all with bad credit. Well,
that's not exactly true. It really depends on what we mean by bad credit. So,
let's kind of talk about that for a second. Many people think that they have
bad credit. But that means different things for
different people. Sometimes when we're talking about bad credit, we could be
talking about you pay people late or you have a lot of credit card debt and it's
really close to the limits. Even though you're making your payment's, you may
have bad credit just because of your credit utilization and how you may have
paid people. Even if you pay them on time, you may be really maxed out and have a
low credit score and bad credit for that reason. Some people have bad credit
because.. Well, maybe they didn't pay people. Maybe something happened and you
didn't pay that car loan or you got that apartment and you got evicted from it or
you got behind you on those credit card payments and now they're not paid. Or in
many cases... And this is so, so popular now. But I'm going to tell you how to get past
it. It's student loans. Many people went to school, took out student loans, got out
and they were not able to pay those student loans and so it now reports on
their credit as bad credit and their scores are low. So, let's talk about which
one do you fall in. Are you someone that just has too much debt or are you
someone that literally does have bad credit where you did not pay people on
time as agreed. And so, the easiest way that you can find out which one you are
is go to myFICO.com. I'll give you a link below. You
look up your credit. What is on your credit report. What does it say? How many
trade lines do you have. What is your score, okay? What is going on with your
credit? That is the first step. So, when we're talking about bad credit, it's a
big difference between not paying your bills or having credit cards that are
maxed out. Because if you have some credit cards that are maxed out, that's a
little bit easier to fix than if you have like repossessions and foreclosures
and things like that on your credit. So, first things first, look at your credit,
see what's up there before you ever start applying. And know which one of
those two categories you fall into. Alright, let's get to the next thing. You
know, during the home loan process, your lender, your mortgage company, your broker;
they're going to do what's called a qualification of you, okay?
They're going to pull your credit. Just have them pull your credit. You're going
to do an application with them where you tell them pretty much everything about
yourself. Your name, your Social Security, your date of birth, where you worked for
the last 2 years, what kind of bank accounts do you have
and then you're going to list out all of your liabilities that aren't listed on
your credit report, okay? That is called a mortgage application. Or in the business,
we also call it a 1003. 1-0-0-3. It's a Fannie Mae number for the
form. So, you may hear a 1003 application in the mortgage process. That is just the
initial application that you put in with all of your information. And what lenders
are looking for of course is "Can you repay this loan?". So, this is really
important I want to really break this down for you. Because you got to
understand what the lenders are looking for. And so, mortgage loan officers are
the people that will help you through this process. And in order to do a
mortgage loan, so anyone that you go to, they must be licensed with the state,
okay? And it's a really big deal, because mortgages had really got out of hand.
People were giving people mortgages that they could not afford, called subprime
lending. And we'll get into that in a second because a lot of that is back and
I'm going to tell you there's some things that you can use to benefit you, okay? So,
prime is not a bad word. It is just that some people used it really wrong and
they got into a lot of trouble. Mortgage loan officers are now licensed
professionals, okay? They have to be licensed they have to go through
background checks. They have to meet education requirements and
standards like that. No more just coming off the street and giving people bad
advice and mortgage loans that they can't afford. So, that's a really, really
good thing. So now, that we know what a loan officer is, what their purpose is, we
know that they work for lenders and their job is to find people like you who
want mortgage loans. And so, let's talk about that process and how you can use
it to your advantage. There are different types of lenders. There are mortgage
companies that only do mortgages. In fact, I used to work for a couple... I work for a
great company called movement mortgage. I absolutely loved them. Still love the
owners and the CEOs and we have a great relationship. But I've also worked for
many banks like Chase, Bank of America and Wells Fargo. And although they do
mortgage loans, they do all different types of loans and bank accounts and
things like that, so mortgage loans are not usually their number one source of
income or the thing that they do. I personally... Again, if you have bad
credit, I recommend going to a mortgage lender. A lender that only does mortgages
or a mortgage broker. A mortgage broker is a company that is attached and they
have a relationships, wholesale relationships with lots of different
lenders and they can shop your loan around to see who will approve it at the
best terms and rates. Now, you pay them a fee and then they find those mortgage
companies for you. Again, if you have bad credit, I actually do recommend you
finding a mortgage company or a mortgage broker, okay?
Not going with a bank like Wells Fargo, Bank of America, blah, blah, blah. Just
because in many cases they are not going to have programs designed for people
with bad credit. Just being really honest with you, as of the timing of this video,
most of the large banks do not have any interest in that. They or their appetite
for risk is just not there. So, you want to go to who will lend you the money and
you want to understand that companies that only do mortgages, they are going to
be more favorable and have lots more programs, okay? They'll usually have lots
of different programs not just 1 or 2 or 3 hundreds of different
programs and different caveats and different guidelines. Or you know, some
mortgage brokers have tons of lenders, they have all different types of
the headline. So, this is where you want to be if you have that credit.
Additionally, I'll give you one quick tip. With the mortgage broker in the mortgage
bank, their loan officers only do mortgages all day every day, that's the
source of their income. In many cases, they have the time and the resources to
help you fix your credit, okay? They have lots of different systems that tell you
how to restore your credit, they know exactly what needs to be paid or not be
paid. Things like that. So again, this is just Noelle's opinion for many years of
experience and education telling you stick with probably a mortgage bank or a
mortgage broker if you have bad credit. And that is why because they want to get
your loan fixed. And they want to help you with your credit and things like that.
And now Noelle is going to give you the granddaddy of how to get approved with
bad credit. So again, go to Mortgage Bankers. You know, pull your credit things
like that. But now I'm going to give you what I did, okay? This is literally what I
did when I lost everything in 2009. And I literally had to move back with my
parents, me, my husband, my kids and moving my parents basement just because I had
tried to invest in real estate. I was a total idiot and I didn't know what to do
and I ended up losing everything. One of the things that I learned that helped me
get to millionaire status was I learned a concept called "subject-to", okay? And I
learned to find people that were already in foreclosure or pre foreclosure or
bankruptcy or divorce or whatever a property problem they were having. And
those people were able to sell me those properties and leave that mortgage in
place, okay? So now, I got a house but I didn't have to get approved for a
mortgage loan. I didn't have to deal with banks at all. And to this day, Noelle
still rarely deals with banks, okay? Once you get away from the
traditional way to do things, okay? When I gladly will tell you the traditional way,
I worked in that business for many years. But it's way better on this side on this
investor side. And what you can do is help people that are in these situations
where they can't keep their properties and that's an opportunity for you to get
properties for pennies on the dollars, without spending very much money and
without ever having to at any bank for a loan. And you still get
properties. Again, properties you can either live in yourself or make money on.
And that's what I do now and that's what I teach other people to do. So, if you've
been watching this video, again, hopefully I gave you all the information of how to
do the traditional way. But know that you can do something called subject to where
the work the home can be sold to you without the mortgage being paid off. And
it's coming to you. And it doesn't have to leave out of the person's name, it
doesn't you know this is not an assumable loan. You're not gonna go to
the bank and ask them to put the loan in your name. No. The loan is going to stay
in that person's name. I actually have a whole video on how to do subject to
I'll put a link there so you can understand the whole concept because
it's really awesome concept but some people a lot of people don't know it,
okay? But it's an awesome way again to start getting properties with bad
credit, with foreclosures. You can be in the worst financial situation your
ownself. But if you have money and have shown that you can now take over this
property, boom. That's what we're going to do. So, as real estate investors, again, we do
not buy properties a traditional way. And yes you can get approved for loans with
bad credit. Yes, you can get a mortgage with bad credit and yes you can get
properties and become a real estate investor or a homeowner with bad credit.
If you need more information and more help, please take a moment and go to
Noellesfreetraining.com. Again that's noellesfreetraining.com. I've created in
a whole course, it's a little over an hour long. I couldn't really put it here
on YouTube. It's just for you so that you can get fully trained on
this information and have all of the information that you need completely
free to you. This is Noelle. To your success.