If you are in dire need of money and don't have the financial means for a large cash transaction to buy a house, then opting for a home mortgage is worth consideration. However, if you are not in a strong financial position, home mortgage, bad credit, are terms which don't go together well, and are almost mutually exclusive, rather like the term "lead balloon". Basically, a mortgage refers to a long-standing credit that a debtor obtains from a financial institution or from a property seller. In most cases, the house is the usual collateral for the mortgage, thus the term "home mortgage". In turn, the mortgage lender will be entitled to some legal rights upon the property as long as the mortgage is in full force or until the debtor pays back the loan. A home mortgage serves as security for loans, thus giving the lender the power to acquire the property through foreclosure in the event that the borrower fails to pay the loan on time. Thus it is quite understandable that a mortgage lender will not be very keen to offer a home mortgage for bad credit history.
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