where can I get property financing without using my credit and how can I establish business credit?

Question

I hear that there are programs that offer financing for home buying with no credit check. I also hear that you can get business credit without using personal credit.

Answer 1

You can get a mortgage loan where they "take your word for it" on your credit (or on your income, either one but not both together) from almost any lender. For ones where they don't verify your income, it's called "stated income" but I can't remember what it's called when they don't run your credit. They tend to have insanely high interest rates--- sometimes as much as 12-14%--- and require pretty healthy down-payments so you should really think it through before you take the plunge. You will probably need to pay Personal Mortgage Insurance (PMI) as well, and that adds another 3-6%. Same for business credit without a credit check on the principal stakeholders. You will pay dearly for borrowing money this way.

For your mortgage needs, you will be better off waiting a year or two and trying to improve your credit than signing off on a 12% loan. For your business needs, start with a corporate credit card even if you have to use a secured card for a year or two, build your corporate credit and then apply for a reasonably priced loan.

Answer 2

As a long time mortgage lender and nationally known credit score expert, my answer is:

1. If the loan is big enough and your credit is good enough, I may be able to title the home to an LLC or corp.

2. If your credit is bad, I can finance a home up to 100% regadless of credit score.