I asked my Referral Partners, “What information can I provide you that will help you reach your business goals this year?” Their answer, “Give us information on different loan programs that are out there.”
With that in Mind, we are going to talk a little about the Alternative Credit options that are out there.(Shuss, we used to call it subprime):
Here are the Bullet Points:
- Credit Scores to 550
- 1 day out of Bankruptcy, Foreclosure, Short Sale
- Multiple mortgage lates are OK.
- Bank Statements can be used to show income(2 years worth)
- Yes, we need 25-30% down minimum
- Yes, the interest rate is going to be as high as 9% based on credit score
My client wanted to sell their $500,000 home and down size, but could not qualify for conventional financing. They wanted to downsize because their job income had been reduced by half due to economic circumstances. They had mortgage lates,, Equity in their home, Their Credit Score had dropped, and they had a large amount of credit card debt. Bottom line, we got them out of the 
big home, paid off all the credit card debt and put 40% down on a smaller home, making their new budget work. We are now in the process of getting them a conventional loan at market rates saving them even more money. Oh Yeah, the Realtor sold a $500,000 listing and helped them purchase a $300,000 listing. If the math is hard for you, that is $800,000 in sales. With one client, the Agent almost hit the $1,000,000 Club……
