Mortgage Loan Denied?
It may feel like the end of the world but I assure you it’s not. Chalk it up to lessons learned and move on to the next.
When trying to cover your bases prior to a home purchase -a mortgage request being turned down is a major hurdle. This can be especially frustrating when deadbeat wipeouts get approved and you feel like your financial position is much more stable than theirs at the very least. How does this happen?
A professional real estate agent would ask you to relax, just because one lender turned you down doesn’t mean you’ll never get a loan. All you need to do is make a few adjustments to application that you know failed to convince the very first lender. Here is what you should do.
Go For a Second Opinion
Mortgage Lenders provide a variety of services and every lender doesn’t have access to the same kinds of mortgages. This means that one lender might make as good an offer as another and their approval criteria will vary as well. Keep your options open and don’t get discouraged. As long as you make additional inquiries within a certain time limit, preferably close together, multiple inquiries made by different lenders will not impact your credit score.
Look for Alternative Financing Methods
Apart from mortgage lenders you can even find privatized money lenders that establish their own qualifications and guidelines. While the conditions of this method are sometimes steep, this option is definitely worth your consideration.
Real estate professionals also recommend FHA financing to people whose mortgage request has been turned down. FHA financing, comparatively carries easy to meet guidelines; however, the FHA guidelines are overridden to suit the lender. And if you are wondering, yes, lenders do have that right.
Another option you can try is owners financing. This means that the owner of the house himself will either carry on financing the home for you or wrap the current mortgage all together.
Looking to settle down in the Glendale Arizona Area. Contact Vivian Freitas for professional realtor representation. She can provide a plethora of information on various lending institutions and steer you in the right direction to getting that approval and a home to go with it.