No Credit Check Homes-what Banks Dont Want You To Know
A no credit check home purchase simply entails purchasing a home without the seller
or owner requiring a credit check in order for you to qualify to purchase the home. You may have to show you have an income that can satisfy the monthly payment whether it be a job or spousal support or some other means but certainly much more flexible than what a bank would be. Additionally you may be required to pay a small down payment. (This varies with the seller and can be from as little as 2% to as much as 20%)
The reason you can buy a home with no credit check is simply because the mindset is if you make a down payment and pay closing costs etc the chances are you will pay for your home. Furthermore sellers know this is usually a 2nd or 3rd chance for their no credit check home buyers and that the chances are the buyer will be much more cautious and make the payments in a timely fashion .
Many times sellers of no credit check houses and homes will also offer credit repair services to help the buyers qualify for a loan in the future to refinance the home purchased at a later date. This is beneficial to both buyer and seller since the buyer can lower their interest rate by refinancing and the seller can be paid off and be paid his equity in the home. This is a win/win for everyone involved. In todays economy this is fast becoming a popular way to purchase a home whether you have good bad or no credit.