Quote:
Originally Posted by Raven
For those who don't have the best credit, some mortgage lenders have what is called a 'comeback program' (not always called that), where your interest rate starts out higher. For each year you pay on time, the interest is lowered until the end of four years.
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I had someone try to sell me that on my refi because I was going nodoc. I politely declined since my credit is perfect and even after the end of the lowering, it was STILL higher than my local bank offered (this was HSBC who offered the "comeback program" - of course, he didn't call it that, lol).
Seems like a good program for someone with poor credit though.
Also, put down at LEAST 20% if you're in the states. Not sure how others do it but here you waste money on PMI if your loan is more than 80% of the value of the house. Also get owner's title insurance. I even get that on the vacant lots I buy. I just have this fear some Indian is going to knock on the door telling me my land is an ancient burial mound and I can't ever sell it
