How to Shop for Subprime Refinancing

If you are in the market for a remortgage and you have bad credit, you are going to find yourself shopping in the subprime mortgage market. Here are the basics of how to shop for subprime refinancing.

Local Lenders

You should start your search with local lenders. Even if a traditional lender does not work with subprime borrowers, in most cases they will be able to refer you to someone that does. By working with someone in person, they should be able to find a program that meets your unique needs.

Online Lenders

You should also make sure that you check out the online market. There are a number of lenders out there that do business through the Internet with subprime borrowers. You can submit your information to a generic mortgage site and they will be able to match you up with a lender that works with those that have low credit scores.

Interest Rate

Whenever you are in the subprime market, you are most likely going to have to pay a high interest rate. Because of this, you will want to make sure that you shop around with many different lenders. Even saving a fraction of a percentage point can end up saving you thousands of dollars in the long run.

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