Resolve Debt

If you are looking for bad credit mortgage rates, then you have found the right place. The fact that you are looking for bad credit mortgages rates tells me two things, you have bad credit and you are looking for a house. Great deductive skills, huh? In this economy, both of these qualities linked together presents a problem. It is best to attack this problem by first explaining it. We will start with the bad credit part.

Having bad credit does not mean that you are in debt. There are literally thousands of people that are in lots of debt, but still have bad credit. Having bad credit means that you are not able to make the appropriate payments on your debt in time. This could be because you have lost your primary source of income, because you are buying goods and services that are not in your budget, or because you are not good at making purchases at the right times, leaving you with enough cash to pay your bills. If any of these sound familiar, then you need to change. If you do not change, then you will never truly get good credit. Getting good credit is essential if you want to get the best rates on everything from a home loan to a car loan.

Now let us move on to the fact that you are in the market for a home. Well, if you were a regular person with good credit, you would be very happy right now. Mortgage rates are very low right now (in the 3% range). This would also be good news if you were looking to refinance (but not if you were looking for a bad credit refinance). However, the fact that you have bad credit essentially ruins any upside that this market has thrown at you. Why is this true? You have a problem with paying your debts on time. This means that no matter how good mortgage rates are, you should not be in the market to get a home. For example, if you knew a friend that had a drinking problem…would you encourage he/she to buy a bar. Of course not! Until you fix your mind, with respect to your finances, you should just keep renting.

What you have just read is probably not what you wanted to hear, but it is the truth. Too many people get into home loans that they can simply not afford. It stems from the fact that the American dream perpetuates the idea that everyone can own a home one day. This is just not true. Some people, like you , should never own a home.