Article: Subprime Mortgages ? Low Down Payments And No Pmi

Subprime Mortgages ? Low Down Payments And No Pmi

Sub-prime mortgages offer financing for those with poor credit to finance the purchase of a home. Today?s sub-prime mortgages offer low down payment options with no private mortgage insurance (PMI). As a result, more people are finding it easier to buy a home.



Sub-prime Mortgage Options



Sub-prime mortgages come in as many flavors as conventional loans. Just like with a conventional loan, low down payments or zero down will increase your interest rate. However, you have no PMI premiums to pay.



Another option is to buy points to lower your interest rate as well, but this only makes sense if you plan to keep your mortgage for seven or more years. A better plan is to improve your credit score, and then refinance in two to three years for a conventio...
 

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Subprime Mortgages ? Low Down Payments And No Pmi

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