If you are unable to get a regular loan to buy a home, don’t be disheartened. There is something called a sub-prime loan that is usually give to borrowers who are unable to raise prime loans due to problems with their credit history, income levels or age. Sub-prime loans carry a higher rate of interest and may have other accompanying charges that may not apply to a prime-loan.
Under ideal circumstances, if you were able to secure a prime loan, you would have been able to buy the property of your choice. But, if you are willing to compromise a bit, you can actually buy a property that is a little smaller that the one of your choice against a sub-prime mortgage. Since this loan will carry a higher level of interest rate, your monthly outflow will be higher and if you bought the smaller property it would fit into your budget. But, all the same you can become a homeowner.
