Posted on: 11th Jan, 2011 01:30 pm
Are there any lenders out there that work with a mid score of 639, when income is ok, haven't had a late payment in over 3 years and been paying double for rent what a mortgage would cost for 3 years also.
Welcome kdalla,
You can contact the local FHA lenders and apply for FHA loans. Such loans are available at a credit score of around 580-620. However, you'll have to offer a down payment of 3.5% - 5%.
You can contact the local FHA lenders and apply for FHA loans. Such loans are available at a credit score of around 580-620. However, you'll have to offer a down payment of 3.5% - 5%.
You absolutely can. You can get a quick tune up with your credit to gain the few points needed and be an approvalable borrower in no time. I do this every day with clients and you are right there. Let me know if you have any other questions.
Conventional mortgages require a credit score of at least 620 but below 680 PMI would not be available if your down payment is to be less than 20%. Besides that, with a score below 700 the conventional rates start making FHA look better.
FHA is fine for you. Because your income may be high enough and you have been making double rent payments, maybe look into FHA 15 year fixed. The monthly Mortgage Insurance Premium does not exist with a down payment of 10% or more and with a minimum down payment of 3.5% to 9.9% the monthly Mortgage Insurance premium is much less than for 30 year fixed.
So, do FHA 30 or 15 year fixed.
FHA is fine for you. Because your income may be high enough and you have been making double rent payments, maybe look into FHA 15 year fixed. The monthly Mortgage Insurance Premium does not exist with a down payment of 10% or more and with a minimum down payment of 3.5% to 9.9% the monthly Mortgage Insurance premium is much less than for 30 year fixed.
So, do FHA 30 or 15 year fixed.
There are still many lenders that will finance homes @ a 620 credit score. How much money do you have to put down on the purchase?
I have 3.5% down saved and a tax return that should be about 10k to pay off any accounts that the underwriter needs me to, unforeseen expenses, moving and making the house move-in ready. jrussen, I have been warned not to touch any old collection accts because it may bring them current, is this true? What do I look for in a lender or broker that would work with me to get my situation to where I can see what is available to me? I'm in Oregon BTW
Welcome Guest,
If the accounts are passed SOL and if you pay them, the SOL will start all over again. Once the SOL is over, the creditor will not be able to file lawsuits against you. However, if the SOL restarts, then the creditor can come after you in order to recover the dues.
If the accounts are passed SOL and if you pay them, the SOL will start all over again. Once the SOL is over, the creditor will not be able to file lawsuits against you. However, if the SOL restarts, then the creditor can come after you in order to recover the dues.