Thomas was a recent graduate from the
University of Illinois. He had just gained
employment at a marketing firm in Champaign.
He was making about $40,000 per year and
wanted to buy a house, however his 550
credit score wasn't quite enough for a
mortgage loan. Thomas wasn't too responsible
in regards to managing his credit during his
college years and it is now catching up to
him. He had attempted to obtain loans
through various lenders, but was turned down
by each. They had explained that he made
enough money to qualify for financing for a
great percentage of homes, but he would need
to improve his credit score and try again
after a few months.
Thomas didn't want to wait any longer to
stop paying rent and to become a homeowner.
He then turned to Schwaps for an answer. He
informed Schwaps, which house he wanted to
purchase. Schwaps was then able to provide
financing for him.
The house was $115,000 and Thomas had $5,000
saved up for a down-payment. Schwaps was
able to provide financing for his house at
an an interest rate of 9% for a period of 30
years, making $925 his monthly payment.
The monthly payment for his house was near
his monthly rent payment of $850. As a new
homeowner, Thomas now new found freedoms
regarding his living situation. He also, is
more financially sound, as with an average
appreciation of 5% in Champaign County, in
just 3 years his house that was once worth
$115,000 will have a value of $133,127. That
is over $18,000 in equity that he never
would've achieved had he kept renting.
* The story
above is just one example of the many ways
Schwaps may serve your Real Estate Needs |