How to Get Approved for a Mortgage in 2009

Just a couple of years ago, if you had a decent credit score and a down payment, chances are you could find a mortgage company willing to issue you a loan. A little bit of paperwork to fill out, a quick credit check and employment verification, and the house of your dreams could be yours before you knew it!

Well, those days have come to an end.

In 2009, prospective homebuyers are facing an entirely different situation and a new set of challenges when it comes to getting approved for a home loan.

The sub-prime mortgage disaster was the result of mortgage companies playing fast and loose with loans. Those same lenders now have been ordered by the government to tighten down on their lending standards and correct the lax requirements that led to the mortgage crisis.

These new regulations are meant to prevent a bad situation from getting worse and decrease the likelihood that consumers will default on their mortgage payments. These measures are important steps in the process of stabilizing the current economic situation.

But what does this mean for you when you go to apply for a mortgage in 2009?

Mortgage Lenders Demanding Higher Credit Scores

First of all, a credit score that mortgage lenders would have considered "good" only a few short months ago is now just "average."

Take this to the next logical step: if you have an average credit score, it may no longer be good enough to guarantee you a loan, or at least not at a decent rate. If you want the best interest rate for your mortgage, you'll now need to have an excellent credit score when you apply for a home loan.

This makes home buying in today's market even more complicated. Bad credit can mean the difference between owning your own home and having to renew the lease on your apartment for yet another year. . .or possibly much longer.

Being aware of your credit score and working to improve it is imperative if there's a home loan in your future. There are things you can do to slowly improve bad credit and increase your FICO score. However, if you're one of the millions of Americans who has negative information on your credit report that shouldn't be there, you'll need to act fast to see that this information is removed from your credit report before you buy a home.

Luckily there's an option when it comes to credit repair, and one that doesn't require you to know all the ins and outs of the complicated process of dealing with creditors and credit bureaus. Lexington Law has a highly skilled professional network of credit repair attorneys waiting to help you legally repair your bad credit and get the mortgage you deserve.

First Name: Phone Number: -- Zip: Last Name: E-mail Address:   Yes, please send me FREE info on other credit related offers. You will receive financial related offers from the Credit Improvers Newsletter and other marketing partners

Email us if you have questions. We want you in your dream home too!

Ben_Casey@creditforcouples.com