Your Lake of the Ozarks Mortgage Lender: 5 Tips to Get a Mortgage Loan If You've Been Turned Down

Thousands of mortgage loans get rejected by lenders each year. It can be difficult to qualify for a mortgage loan at the Lake of the Ozarks, even if you have a good credit score and a steady income. Don't get discouraged and give up though. You can reapply for a loan, but you'll need to take some steps first. Here are 5 tips for those of you who've been rejected for a Lake of the Ozarks home loan.

1. Find out the reason your loan was rejected.

The first step in moving on after you've been rejected, is figuring out the reasons for the rejection. Contact your Lake of the Ozarks mortgage lender and ask for details on why your loan was rejected. This could range anywhere from bad credit, work history or debt load to the amount of your loan being too large. Once you have this information, you can then figure out what needs to be done to fix the problem and get your loan approved.

2. Improve your credit score.

When you're rejected for a loan, it usually all comes back to your credit report. According to the Federal Trade Commission, you are entitled to a free credit report. If credit was the issue for your loan being denied, you are also entitled to know the name of the credit reporting agency that provided the data on which the decision was based. Be sure to go over your credit report and look for any incorrect entries, accounts that aren't yours or outdated information. If you find any of these errors, write the credit report agency and ask them to update your files. In a marriage, it's often the case that one spouse will have serious financial problems. If that's the case, you'll want to make sure to establish credit in your name alone.

3. Pay off your debts.

If everything on your credit score is correct, work on improving that score. There's no way to avoid it, if you have unpaid accounts listed against your credit history, you have to pay them back. Start paying regularly in any amount you can afford and work your way up. Reach out to your creditors to rectify the situation. Most creditors will remove negative credit data if you make a full or partial payment toward the debt.

4. Apply with a cosigner.

Applying for a loan with a cosigner means that they agree to pay back the loan if you default. You'll need to find someone willing to take a chance on you because the loan will appear on the cosigner's credit report. Since the lender will put more weight on the credit score of your cosigner than on yours, be sure to find a cosigner that has a very good credit score.

5. Choose a less expensive home.

Another reason you loan could have been rejected is that the loan amount you're seeking is too large compared to the current appraised value of your home. If you've been rejected for a mortgage on a more expensive home, you might qualify for a less expensive home. By getting a pre-approval at the Lake of the Ozarks, you will know how much you can afford to spend on a home.

Don't panic, it may take time to fix these Lake of the Ozarks mortgage issues. Begin collecting the financial data you need to change your rejected loan into an approved loan. Most scoring systems allow buyers to make multiple mortgage applications within a 30-day period without any negative impact on their credit score. Overcoming a bad loan situation is possible, you just have to work at it. It's really about keeping your emotions in check and getting a good game plan together!

Sources:
http://www.marimarkmortgage.com/blog/qualify-for-home-loan/3-tips-to-get-a-mortgage-if-you-have-been-turned-down
http://realestate.msn.com/9-tips-if-youve-been-rejected-for-a-home-loan
http://www.bankrate.com/finance/mortgages/what-to-do-when-your-mortgage-is-rejected-2.aspx

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