I have 20 % down payment on a $550k home but not so good credit,can I still get a home loan?
pacman asked:
Me and my wife’s credit score is in the mid 600s,how do we get a home loan without the help of a cosignee?
Me and my wife’s credit score is in the mid 600s,how do we get a home loan without the help of a cosignee?
January 6th, 2010 at 1:20 pm
Have you tried FHA. FHA insures loans that high for California, New York, and some other places.
January 9th, 2010 at 7:48 am
Home loans for bad credit are for people who find it difficult to get loan facilities due to poor credit ratings. However, people with bad credit may have to deal with several difficulties at times and they also pay slightly higher interest rates for the loans. One of the best ways to increase your chances of getting a home mortgage loan if you have poor credit is by improving your credit history. Besides, you can get in touch with some good sub prime lenders who may be able to assist you in getting the best deal in getting such loans.
January 11th, 2010 at 12:24 pm
Don’t give any personal information to the people answering your question! They are most likely scammers praying on your need for a loan.
You shouldn’t have too much of a problem with 20% down payment. Try a few reputable banks and see if you can get a good interest rate, but if they can’t help you don’t expect that one of these people can.
Our credit rating is about the same as yours and when we tried to buy a home, we were told we could only get a loan without at least a 10 - 20% down payment. They also go by your debt to income ratio. They’ll use this to see if they think you can handle the monthly payments. I would recommend Quicken Loans for a loan. They were very professional and even though they couldn’t give us a loan, they helped answer a lot of questions. Or you can try the bank you have a checking account with. I have to save for a down payment, but at least I know what I need to do in order to buy a home.
Just be careful with people trying to offer “too good to be true” offers!
Debt to income ratio calculator:…
Quicken Loans:
January 12th, 2010 at 10:53 pm
hi pacman
over here in oz,all we need is %5,%10,or in our case 0 downpayment on buying a home,we just bought 2 homes ,refinced our loan’s,we were paying %10.9,now % 6.1 on interest only loan,on six properties,owing $1.2 mil,with equity of $500,000.
GET SOME GOOD FINANCIAL ADVICE FROM SOMEONE U CAN TRUST,THERE ARE A LOT OF SHONK”S OUT THERE,MAKE SURE U DON”T GET RIPPED OFF.DO A SEARCH TO FIND A GOOD ADVISOR,THE RESOURCES ARE AT YOUR FINGERTIP”S,USE THEM.
regards
kirrakid
oz
January 14th, 2010 at 3:32 am
Try a few local Mortgage brokers. the brokers can search around for the best loan for you. DO NOT SEND PERSONAL INFO to any of these online scammers. Read the answer below with the thumbs up response and not the thumbs down. You can most likely get the actual credit report and see address the issues that bring you down. For a good rate loan you really need 680 or higher. It may be prudent to wait a little while and fix a few issues on the credit to get you up a bit, but try the brokers as well. Go to a few of them, but do not inform the others you are shopping around or they will lose interest in you etc. It can be done with perseverance. Chin up and move forward. Good luck. It is people like you that will turn the economy around.
January 14th, 2010 at 11:45 pm
In order to find out the type of loan programs you are qualified for you will have to fill out a loan application, with a mortgage broker, which you can find one in your local telephone book.
Make sure this mortgage broker or mortgage banker is able to do government loans such as FHA and VA loans if you qualify for one.
He will fill out this application, which takes awhile so grab your favorite beverage and sit down. Once you have completed the application, he will run your credit report which will have your credit scores. These credit scores will determine your interest rate.
The amount of your monthly debt payments you are required to pay as per your credit report and the amount of mortgage you can take on based on your income will determine the amount of house you will be able to purchase.
When you speak with the mortgage broker you will need the following documents to complete the loan application, there will be others, but this will get you started.
#1 One month of pay stubs for each person that will be on the mortgage.
#2 Six months bank statements from each bank in which you bank as well as statements from any 401K from you place of employment.
#3 Two years of federal income tax along with the W-2 that match.
Once he has all that he need to do he can then issue you a pre-approval letter so you can purchase a home. In this pre-approval letter will be the amount of house you are qualified to purchased.
Once he gives you this pre-approval you may now find a real estate agent to find yourself a home or he might have a referral.
Now make sure before you get your pre-approval you and your mortgage broker go over all your options as to the mortgage programs you qualify for, the interest rate, monthly payments.
If you are getting a FHA, fixed rate, two loans to eliminate PMI like an 80/20 or one loan, if you are qualified for and approved for a 100% loan.
You should select the loan that best suit your financial condition at the time. That could be an adjustable rate loan. It could be a fixed rate loan for 5 or 10 years and then adjust. Some adjustable rate mortgages only adjust once.
Make sure your mortgage broker explain all your options so you may make an intelligent decision.
What might be good for one person might not be good for you, in other words just because your friends and all your real estate buddies are telling you about the great fixed rate they got, your financial situation might call for something else.
So select the best option for you and your financial situation.
You should also get a Good Faith Estimate (GFE) which will indicate the cost you will have to pay for getting this loan. It will also indicate the amount of your down payment.
Once you have found a home the real estate agent will then prepare a contract for you and the seller to sign.
Your mortgage broker will now order an appraisal to show proof of the property value.
The mortgage broker might ask for additional information or documentation, don’t get all up tight this is normal, just supply the information or find the documents needed.
After the appraisal has been completed you will be called by your mortgage broker to sign your loan docs so you can take possession of your new home.
Before signing any loan docs make sure they say exactly what you and your mortgage broker went over when you decided on what mortgage program was best for you.
I hope this has been of some use to you, good luck
“FIGHT ON”
January 15th, 2010 at 5:59 am
do you have combines income of at least $150k a year? - with 20% down, you should be able to get a mortgage with that score - not the lowest rates though