What is Non-Prime Lending?
Non-prime is the alternative to normal bank loans where borrowers are required to have perfect credit with no bankruptcies, foreclosures, short sales, late payments on mortgages or low credit scores.
With this new loan product, we can help people who have had problems with their credit. Whether your credit scores are 500 with serious credit problems or well above 700 with one problem that prevents the bank from helping you, we have a solution to fit your needs.
It is also a great tool for self-employed borrowers who are unable to prove their income by providing income tax filings. This is a huge advantage over bank loans that require two years of tax filings.
How Is It Different From Hard Money?
Hard money loans normally have shorter terms and balloon payments. While this can work as a short-term solution and for investment properties, it is not workable for someone buying a home they want to live in for a long time.
Different from the old subprime loans that caused so much trouble, non-prime loans can have fixed rates from 5 years up to 30 years with no balloon payments and, for owner occupied properties, there is no prepay penalty.
Another major difference is the interest rates. Non-prime loans have rates that generally range between those of bank loans and hard money. This makes them more affordable than hard money but easier to qualify for than bank loans.
When someone has a single issue that prevents them from getting a bank loan, they can still get a good long-term loan with a rate that is close to the best rates available from the banks.
We have programs that will work for loan amounts starting at $100,000 and going as high as $2,500,000. Whether you are looking for an entry level home, a luxury home or something in between, we have options for you.
You can also refinance to pull cash out. Whether you need cash to pay some bills, remodel your house, put money into your business or some other reason, we can help.
What Do I Do Next?
To find out what you qualify for, there are two different options. You can call our office and answer a few questions over the phone or you can fill out a pre-qualification form here (insert hyperlink).
Contact us today with any questions you have.