What Mortgage Niche Are You In?
It could have an effect on your mortgage options.
Which mortgage niche or consumer category you fall into could determine what mortgage programs are available to you. There are too many niches to name in one article but some lenders cater to certain niches and do not offer programs that other niches would be able to qualify for at all. You may want to determine what group or niche you fall into so that you can narrow down your mortgage lender choices before going on a shopping expedition for your mortgage.
A Credit
If you have a credit score of 720 and you pay all of your bills on time, are employed, and do not have any major financial picture flaws, then you will probably have more of a choice in lenders than someone who doesn't fall into this category. This niche is less limited because they have a sound financial picture and a lender does not see this type of client as being high risk.
C Credit
Individuals who have bad credit or who have blemishes on their credit which causes their credit score to dip may have to seek out a C Paper Lender. These C Paper Lenders cater to people with not so great credit. Their lending programs often do not require the customer to provide documentation that supports sufficient income, etc., to qualify for the loan. The price of having C Credit and not having to supply documentation is usually a higher interest rate than someone who has A or B Credit.
Self-Employed
This is another niche certain lenders will not even consider. There are lenders, however, that have programs that cater to the self-employed individual or small business owner.
While you may fall into one of these groups, you may also find that you fall into a different category. By determining what niche you are a part of you will be able to determine what type of mortgage lenders you should be considering in order for you to get the best deal possible.
Mortgage Niche
Which mortgage niche or consumer category you fall into could determine what mortgage programs are available to you.
