bad credit lenders?

[Linda]

I am new to this site - just found it.

I am buying my land in N. Michigan on L/C. Payments are $135/mo. I recently moved into one of my parent's homes and pay no rent. I am trying to save for a downpayment. Unfortunately, my credit is bad. Are there any lenders out there willing to work with bad credit? I have been faithful in paying rent to my landlords for the last 3 + years. Any information will be welcomed.

[Jim]

You might try finding a mortgage BROKER, particularly one who specializes in what is called "non-conforming" lending (lenders who specialize in borrowers and/or properties that do not conform to the usual standards set by the secondary market, i. e. Fannie-Mae, Freddie-Mac, VA, FHA, etc.). In most states, brokers or lenders who are seeking financing on RESIDENTIAL housing are prohibited from taking fees up-front, but are required to take their fees from the amount of the loan after-the-fact of successfully closing the loan. I would recommend checking with your State regulator's office to see what the laws are in your state so that you don't get taken in by someone promissing miracles but delivering nothing but a receipt for your sucker-money. Most states are very protective of consumers in the field of real estate financing, but make sure.

[Jim]

Please let me know how you make out and if you have any problems with my suggested procedure.

[Linda]

Thanks Jim. I will keep you posted. I appreciate the advice.

Linda