Secrets to Mortgages Despite Outstanding Credit Card Debt
Exploring Mortgage Options
When it comes to mortgages, there are several types of loans that can accommodate borrowers with existing debt. FHA loans, for instance, are backed by the Federal Housing Administration and are designed to help those with lower credit scores and higher DTI ratios. These loans often require a smaller down payment, making them accessible to a broader range of borrowers4.
Another option is to explore lenders who specialize in non-traditional financing. These lenders may offer more flexible terms and consider alternative credit data, such as rent and utility payments, to assess your creditworthiness. While these loans might come with higher interest rates, they can be a viable path to homeownership for those managing outstanding debt.