A friend of mine's step dad said he could finance me for his house. He may have good intentions but before I more forward I want to know all the precautions and how it is even possible. My credit score is somewhere in the 500s. In the past I was only preapproved for $130,000. However, this house should be worth $250,000. He is saying that regardless he will get me financed & the payments will be $590 (which I am assuming does not include tax & insurance) & a fixed interest rate of 3%. I've tried adding it up as a 30 year mortgage but I am showing that he would take a huge loss.
I don't want to miss a good opportunity if someone is trying to help me but I just am not so sure there's not some catch.
How could this even work? What should I look out for?
Read more: I have poor credit & someone is saying they could finance me at 3%, how is this possible?
