Lorna Mclaren asked: If you have a poor credit rating and want to buy your own home then you are one of thousands of people who are classed as bad credit first time home buyers. Fortunately, you are not alone as many people have acquired a bad credit rating through life circumstances and it is happening to more and more of us every day. Financial institutions used to refuse to offer loans to bad credit first time home buyers but that is rapidly changing, in your favor.
There has been an explosion in the number of companies that are advertising home loans for bad credit first time home buyers. It is important not to be misled into thinking that you are getting the best interest rates on your first time home buyer loan just because a company has commercials every five minutes on the television, you need to shop around and online is a good place to start.
The key point to note with any offer of a bad credit first time home buyers loan is that you are considered a high loan risk. This is obviously not the case if you have simply had a short spell of financial difficulties but, to a lender, it does not matter. To help them to compensate for people who do default on their loans it is the bad credit first time home buyers that are often offered home buyer loans at the highest interest rates. You need to obtain quotes from a number of different agencies and organisations that promote the availability of loans to bad credit first time home buyers to make sure that you get the most competitive rate possible.
Online it can be relatively easy to make comparisons and to get advice before diving in. Some companies even offer an online application form which means you are not restricted to local companies.
Sue
