The fact is, some people will never own a home. Truly, there is a segment of our population that for one reason or another they’re not going to be homeowners. Maybe they prefer to rent. Or they might not want to take on the responsibilities of owning a home. But for those of us who DO want to own a piece of the rock, there is a way to realize your dream. Some people were fortunate to have formed good financial habits early on… Good job, good income and a great looking credit report. Good for them. These people have no problems in getting traditional Agency Type Financing, and at the lowest rates.
But, approximately a third of the people that apply for a Home Loan are unable to qualify for a loan because of the high credit- qualifying standards required with an Agency Type Loan. Possibly, there was a problem meeting the income requirements, which is common, but often the situation is that they have credit issues, past and or current. The Credit Challenged Borrower represents a good portion of our customers here at New Castle Mortgage and in fact, some of our loans were designed to address the borrower who has experienced credit difficulties. The Loans are underwritten by a “real person” and not by a computer software program. A “real person” underwriter will use common sense underwriting in trying to get your loan approved. A “real person” underwriter will take compensating factors into consideration. If there’s a story on what got you into your current credit situation, and perhaps everything is OK now… We want to hear that story! Even if your credit score is low, you could be considered if your income will qualify you. Underwriters know that credit scores do not pay mortgages – stable incomes and stable employment do!