"Friendship often ends in love; but love in friendship - never."Charles Caleb Colton
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10 Tips on AVOIDING ID THEFT AND CREDIT FRAUD
10 Tips on AVOIDING ID THEFT AND CREDIT FRAUD by Eve Abbott, the Organizer Extraordinaire Excerpts from her new book, "How to Do Space Age Work with a Stone Age Brain"TM Each year billions of dollars in credit fraud is perpetrated on unsuspecting ...
Paying for business purchases on a charge or credit card can assist in small business management
According to americanexpress.com,Most small business owners rely in some type of business plastic to acquire business-related goods and services and pay for the costs of doing business. Review the benefits listed below to make sure you get the most from ...
Understanding The Function Of Credit
What is Credit? Credit is the backbone and the engine behind the workings of the economy. Credit simply allows individuals and companies to borrow funds in good faith and pay it back over a specified time frame. Lenders base their decisions on who they ...
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Sub-prime lenders now offer financing packages with zero down. Interest rates are higher on these types of loans, but they make purchasing a house easier. And unlike a conventional loan, there is no private mortgage insurance required. There are two types of zero-down mortgage packages, each with their own requirements.
Types Of Zero-Down Loans
100% financing, as it names implies, offers complete financing of your property. The other option, 80/20, finances your mortgage with two loans. Both loans may be carried by your lender, but sometimes the seller or a second lender is required to carry the 20% mortgage.
100% financing is easier to deal with, but not all lenders will offer this type of home loan. 80/20 financing is more common, but takes some negotiation if the seller is involved.
Qualifications For Zero-Down
Each lender has their own criteria for determining who will qualify for a zero-down loan. Most sub-prime lenders require any bankruptcies or foreclosures to have been at least twelve months ago. A conventional loan requires these to be discharged two to four years ago.
While a credit score of 600 or higher is best, large cash reserves can also qualify you. Six to twelve month's worth of cash reserves in the form of savings, money market, or other liquid assets are considered ideal.
If you choose 80/20 financing with the seller carrying the second mortgage, you can qualify with sub-prime lenders with a score of 560.
Zero-Down Sub-prime Lenders
You can find zero-down sub-prime mortgages with both conventional and niche sub-prime lenders. Make sure that you request quotes from as many mortgage lenders has possible to be sure you find the lowest rate and best terms.
You will also want to decide what type of mortgage you want. An ARM is easier to qualify for and has lower rates. A fixed rate mortgage offers the security of a constant interest rate over the life of your loan.
Typically an ARM will be a better deal if you plan to refinance within a couple of years. After you have improved your credit history, you can refinance for a conventional mortgage with low interest rates.
About The Author:
See my recommended companies for
http://www.abcloanguide.com/lessthanperfectcredit.shtml.
Carrie Reeder is the owner of ABC Loan Guide, which offers help with http://www.abcloanguide.com.
Copyright Carrie Reeder - http://www.abcloanguide.com
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Justice Department Probe of Credit Swaps Said to WidenBusinessWeekBy Matthew Leising and Jeff Bliss on May 21, 2012 A US Justice Department antitrust investigation into data provider Markit Group Ltd. is expanding to include other companies in the credit-default swap market, according to three people familiar with ...and more » |
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