Posted on: 14th Dec, 2009 11:02 am
my fiance has a home that is soley in his name now and all payments are made on time. in the past this property went into forclosure because his ex-wife was court ordered to pay the mortgage and insurance payments while she resided in the house. she did not pay and the property went into forclosure. my fiance bought it out of forclosure. my question is because it originally went into forclosure and his name was on it at the time along with his ex-wifes, will this affect his credit? and if so what can he do to rectify the problem so that banks will work with him to refinance?
Welcome dwinn,
Was your fiance's name mentioned on the mortgage documents when the property went into foreclosure? If not, then his credit will not be affected due to the foreclosure sale. However, if his name was mentioned on the mortgage docs, then the foreclosure will affect his credit score and lower it by 250 points.
Banks would require a credit score of 700-720 in order to refinance the loan. If your fiance does not have the required credit score, it would be difficult for him to refinance the loan.
Was your fiance's name mentioned on the mortgage documents when the property went into foreclosure? If not, then his credit will not be affected due to the foreclosure sale. However, if his name was mentioned on the mortgage docs, then the foreclosure will affect his credit score and lower it by 250 points.
Banks would require a credit score of 700-720 in order to refinance the loan. If your fiance does not have the required credit score, it would be difficult for him to refinance the loan.
I would like to know if by me foreclosing on my home that I purchased in my name before I met my fiance during or after we get married if it will affect his credit and stop him from purchasing a house for us
I would like to know if by me foreclosing on my home that I purchased in my name before I met my fiance during or after we get married if it will affect his credit and stop him from purchasing a house for us
It will depend on the state. In some states, the lender will go after both persons if there is any money owed.
Otherwise....if the other person's name is NOT on the mortgage then they won't get their credit tarnished
Otherwise....if the other person's name is NOT on the mortgage then they won't get their credit tarnished
