Monday, November 24, 2008

Buying Subprime Mortgage Leads

In the world of mortgage lead lingo, some terms are more complex than others. Many a mortgage lead novice has been fooled by the phrase "subprime mortgage lead". Subprime mortgage leads, often referred to as non-prime mortgage leads or specialty financing leads, is a subtle way of referring to someone who lacks good credit.

Those who have experienced bankruptcies, liens, judgments or simply have a poor credit history due to frequently late payments often seek subprime mortgages because they fail to qualify for prime mortgages. They become a subprime mortgage lead because it's their only chance to purchase a home and re-establish their credit.

A subprime mortgage lead carries an increased risk, and this increased risk translates into higher prices. A subprime mortgage lead wishes to qualify for a subprime mortgage only because they have failed to qualify for a prime mortgage. The fall from prime mortgage lead to subprime mortgage lead is usually the direct result of a low credit score.

Typically, the higher rate that subprime mortgage leads pay is 5 or 6% higher than the usual interest rate. There is a silver lining, however. As the borrower makes his or her payments and repairs his or her credit history, a refinance mortgage could be pursued in a year or so. A subprime mortgage lead quickly becomes a refinance mortgage lead.

With poor credit, a subprime mortgage is often the only option if one wishes to realize the dream of home ownership. That's a dream you can help make happen, especially now that you know the meaning of a subprime mortgage lead.

Mark Carey is an Internet marketer and webmaster of
JuicyLeads is a major provider of refinance mortgage leads

For mortgage leads and refinance leads, visit