How to Buy Your Landlord’s House with the Help of a Bad Credit Mortgage Broker
Having good credit has many benefits. However, does having bad credit mean that you are forever barred from making progress in your life? No! While having a stellar credit history makes life easier, you can still land your dream property with a Bad Credit Mortgage Broker. Here is what you need to do:
Find a Guarantor or Co-Signor for Your Bad Credit Mortgage
Even if you intend to live alone, having a co-signor assures your landlord that they will receive all their payments. Basically, the co-signor should be someone close to you and with good credit history. Your co-signor will need to meet with your Bad Credit Mortgage Broker and agrees to cover all payments in the unfortunate case you default.
Be Honest with Your Landlord and Your Bad Credit Mortgage Broker
Having bad credit is not always synonymous with bad spending habits. You might have experienced situations beyond your control such as losing your job, medical problems, etc. all which hurts your credit. By being honest about your current situation, you will earn trust. You can then prove your commitment to pay by showing the progress you have made to get back up. This will show that you are responsible and reliable.
Make Advance Payments
By paying a month or two in advance, you will negate the fear that your bad credit may cause you to default. Additionally, you can increase your security deposit or even pay a little more on each installment. This also reassures your landlord of your commitment.
Prove Your Income and Savings Balance
The main concern for every landlord is that you may not pay your installment when they fall due. You can negate this fear by first showing proof of solid, consistent income or savings using recent pay stubs or tax returns. Additionally, offer to have the installments deducted automatically from your bank account. This will go a long way in making the landlord feel good about you.
Bring Recommendations
The goal is to assure the landlord that you are of an unquestionable character and will not default on payments. Bringing letters of recommendations from previous and current employers, landlords or roommates will cement your case.
While having bad credit is unfortunate, it shouldn’t stop you from owning your dream home. Our Edmonton Bad Credit Mortgage Broker has helped many families achieve their dreams regardless of their credit. Contact us today to work with a Bad Credit Mortgage Broker to rise above bad credit and purchase a new home.
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