Not Even Bankruptcy Can Stop You from Buying a House in Ontario
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Many consumers are under the impression that they will not be able to become home owners if they have experienced bankruptcy. While this may be true if they approach regular banks for mortgages, they may be able to buy their own piece of real estate if they consider the option of a bad credit mortgage in Cambridge to help finance the deal.
1. More Relaxed Lending Rules than Banks
When working with prime lenders, you may be required to wait anywhere between 2 and 6 years before applying for a mortgage. However, most private lenders who provide poor credit mortgages in Cambridge are not as strict as this – you could be on your way to obtaining the finances you need to purchase a home in as little as 1 to 2 years at the most with them.
2. Discharge from Bankruptcy is Essential
It’s important to remember that you will need to be discharged from your bankruptcy as soon as possible if you would like to qualify for a private home loan in Cambridge. The sooner this is done, the sooner you will be able to rebuild your credit score to a level that is deemed acceptable to qualify for a bad credit mortgage. Provided that you have met all of the terms and conditions associated with your bankruptcy, it will usually be automatically discharged within a predetermined period of time.
3. Save as Much as Possible for a Deposit
Although it’s not always a requirement to have a down payment on hand when applying for second mortgages in Cambridge, it is strongly recommended. Having a deposit of 20% or more on hand will help reduce the amount you will need to repay each month and it will prevent you having to sign up for mortgage default insurance as well. Another benefit of having a deposit is that it will normally enable you to obtain the best possible interest rate on second mortgages in Cambridge.
4. Documents Needed to Apply for Poor Credit Mortgages in Cambridge
While obtaining a bad credit mortgage in Cambridge may be easier than going through a regular bank, you will still need to provide a range of financial and personal information and documents at the time of applying. You will need to supply employment details, paystubs, and personal income tax returns for the last 2 filing years and a letter from your company stating what work you do, how much you earn and how long you have been with them for. You will also need to have current banking details on hand and provide consent for the lender to perform a search on your credit history.
When it comes to applying for and obtaining a private home loan in Cambridge, our team at Mortgagecwf.com will ensure that the process is as stress-free as possible for you. Contact us today to find out how you could obtain second mortgages in Cambridge through us – even after having dealt with bankruptcy.