Begin Now!
It is imperative that anyone considering a Rent to Own or Lease
Purchase Home begin credit restoration immediately. The sooner the
better!
If you aren’t interested in restoring credit, then a Lease Purchase probably isn’t for you. Why?
There is no point in throwing away the option fee if you aren’t going
to do what it takes to eventually own the home. Unless you are serious
about doing what it takes to restore credit, you are better off renting.
If you don’t do what it takes now, you will never qualify for a
mortgage!
Credit repair takes time. It isn’t going to happen overnight. So, you
should begin working on your credit as soon as you make the decision
that owning a home is important to you!
3 Categories
The main focus of our program, is to help people prepare for
financing while living in the house. Almost every person that comes to
us falls into one of 3 categories in regards to their credit and what
they need:
- Derogatory items and incorrectly reported items that require credit improvement
- Lack of open trade lines that require establishing new trade lines with secured cards
- All of the above.
Credit Improvement
Often times, when an old account is sold to another company, the
dates are reported incorrectly or information about that account is
reported incorrectly. Many times the same account will show up multiple
times due to the account being sold to other companies. If somebody goes
through a bankruptcy, it’s almost inevitable that there are items that
aren’t reporting correctly on the credit report. Getting items
straightened up on the report is where credit improvement comes in.
The credit improvement program we recommend was specifically designed
to help people in our program prepare for financing. Not only do they
prepare in depth credit analysis for each of their clients, but they
will work for you to resolve incorrectly reported items, and even assist
with budgeting!
Credit improvement is absolutely vital for success in financing your
home. That’s why it is mandatory to go into a great credit program, and we pay for that one time fee of ~$699 for one person for
each applicant in the home, and that's why it’s mandatory for every applicant! There is no monthly fee. The credit repair provider works on your credit for 12 to 18 months right up to the time you go to get your mortgage.
Secured Credit Cards
It has become more and more important to establish active trade lines
utilizing secured cards. Lenders are now requiring in most cases 3
active trade lines for the applicant. That is VERY important to be aware
of! Obtaining secured cards and using them properly is a great way to
raise your scores, particularly when used in conjunction with credit
improvement. But with the lenders now requiring 3 active trade lines,
secured cards have become a necessity for most people coming to us! One
of the first things our credit improvement company will do is help you
easily acquire those trade lines.
Reporting Rent to Credit Bureaus
Yes, we can actually report your on-time rent payments to the major
credit bureaus! And unlike some companies who claim to do the same thing
(but really are only reporting the credit to their own private database
or an unknown credit reporting agency like the “PRBC credit bureau” –
who’s ever heard of them?), we actually have a way to report your rent
to the 3 major credit bureaus as a first installment loan!
What’s the best way to show the banks that you are paying your rent on-time? By reporting your rent to the credit bureaus!
The One-Two-Three Punch
Most people that come to us really need all three things – credit
improvement, secured lines of credit, and rent reported to the credit
bureaus. We tend to refer to this as the “One-Two-Three Punch”. The
reason, is that although credit improvement is extremely effective, if
you don’t have the active trade lines to offset the negative and show
responsibility with credit, the credit improvement will be limited on
it’s effectiveness. Same with secured cards and reporting your rent to
the major credit bureaus. If you just get a secured card or if you just
report your rent to the credit bureaus, it will help, but it will be
limited on its effectiveness.
By enrolling in credit improvement, getting secured cards, reporting
your rent to the credit bureaus, you are giving low credit scores the
one-two-three punch and you’re on your way to finance!
The Bottom Line to Financing
The bottom line to getting financed in most cases can be summed up as this:
- Enroll in credit improvement – trust the professionals to help you do it faster
- Obtain at least 3 secured cards or 3 active trade lines
- Report your rent to the 3 major credit bureaus
- NEVER, NEVER be late on any payments while in the house – (this
includes rent payments and any payments on credit accounts or your car)
- Don’t buy a car until you have bought your house!
By following these 5 main rules, you will be well on your way to home ownership!
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