{"id":6228,"date":"2023-01-20T20:22:39","date_gmt":"2023-01-21T01:22:39","guid":{"rendered":"https:\/\/dreamhomefinancing.com\/?p=6228"},"modified":"2024-01-04T02:36:56","modified_gmt":"2024-01-04T07:36:56","slug":"no-credit-check-mortgage","status":"publish","type":"post","link":"https:\/\/dreamhomefinancing.com\/no-credit-check-mortgage\/","title":{"rendered":"No Credit Check Mortgage Options for 2024"},"content":{"rendered":"

\"No<\/span><\/p>\n

Most mortgage program guidelines require lenders to use your credit scores and credit activity as a primary factor in approving your mortgage. There are no credit check mortgages available which can help if you are concerned about your credit scores when applying for a mortgage.<\/span><\/p>\n

If you are concerned about your credit score something on your credit report, then it is possible you have not been speaking with the right lender. You can get a mortgage with very poor credit scores. You are able to get a mortgage with derogatory items on your credit report. If those are your issues, then it is possible you do not need a no credit check mortgage, but just need to speak with the right lender.<\/span><\/p>\n

Click to Speak with Someone about a Mortgage with No Credit Check<\/span><\/strong><\/a><\/p>\n

What is a No Credit Check Mortgage?<\/span><\/h3>\n

A no credit check mortgage is one where the lender does not use credit scores as a basis to approve your loan. Lenders and mortgage brokers will use your financial profile and down payment as a form of collateral to approve your mortgage.<\/span><\/p>\n

You may find the lender checking to make sure you do not have a bankruptcy or foreclosure making sure borrowers do not pose additional risk. Your application may also go through a manual underwriting process.<\/span><\/p>\n

No Credit Check Mortgage Options<\/span><\/h2>\n

If you are concerned about the lender checking your credit, the mortgage options below are available to you. These will not work in all situations but for many people these are viable options.<\/span><\/p>\n

FHA Streamline Refinance<\/strong><\/span><\/h4>\n

If your existing loan is an FHA loan, you can refinance without the lender using your credit as a basis to approve your loan. FHA guidelines do not require the lender to use credit as a basis for approving the mortgage for a streamline refinance. As a result, your credit scores can be very low and you can still get an approval.<\/span><\/p>\n

The lender will pull your credit only to verify whether you have made late mortgage payments. From a credit perspective, that is the only thing that could result in hindering your mortgage approval.<\/span><\/p>\n

The main thing to remember here is your current mortgage must be an FHA loan to qualify for an FHA streamline refinance. You also must still be occupying the house as your primary residence.<\/span><\/p>\n

Read [FHA Streamline Refinance<\/span><\/a>]<\/strong><\/p>\n

VA IRRRL<\/strong><\/span><\/h4>\n

The VA IRRRL is the VA “interest rate reduction refinance loan” which is very similar to the FHA streamline refinance program. It is the VA’s version of that program and also does not require the lender to use credit scores as a basis for your mortgage approval.<\/span><\/p>\n

The purpose of the refinance must be to lower the interest rate, lower the payments, or improve the loan terms in some way that will benefit you.\u00a0Your existing mortgage must be a VA loan to qualify.<\/span><\/p>\n

The lender will look at your credit report only to verify that you have been making on time mortgage payments.<\/span><\/p>\n

Read [VA Loans<\/span><\/a>]<\/strong><\/p>\n

Private Money<\/strong><\/span><\/h4>\n

When financing with a private money lender<\/strong><\/span><\/a>, you likely will not encounter a credit check. These lender may be a neighbor, relative or someone you meet who has money to lend in exchange for a higher interest rate. Unlike the other options referenced above, private money can be used to purchase a property, not just refinance.<\/span><\/p>\n

Private money loans have no specific guidelines you can negotiate all of the terms including the interest rate, down payment, and term of the loan. The hardest part is finding that private money lender.<\/span><\/p>\n

Hard Money<\/strong><\/span><\/h4>\n

Most hard money lenders do not pull credit for both purchases and refinances. Hard money loans usually come with the highest interest rate and the most points. They are used for short term situations like a bridge loan or fix and flip situation.<\/span><\/p>\n

You can expect to pay up to 4 points and have interest rates higher than 10%. However, since this is a short term loan the actual interest paid should not be too much.<\/span><\/p>\n

Read [Hard Money Loans<\/span><\/a>]<\/strong><\/p>\n