Posted on: 17th Mar, 2009 03:05 pm
I'm being told that you have to have a score of 620 to qualify for a FHA loan. However, I'm reading on their website that you don't have to have a FICO score. Are these the same thing? And why the difference in info.
Hello Bojellie,
When someone says "credit score" they are usually talking about your FICO score, which is what most lenders go by in determining your eligability for credit. When you said "I'm reading on their website" what site were you looking at?
The score you need to qualify for an FHA is going to vary by lender I believe. It also depends on other factors such as how long you've been at your current employer and what kind of debt to income (D/I) ratio you have.
Although I have to admit, with the economy the way it is most lenders are tightening up on their underwriting guidelines so you may need to have a score higher than 620 to qualify. Why not contact one of the mortgage profesionals through this site to get a consultation?
Best of luck!
When someone says "credit score" they are usually talking about your FICO score, which is what most lenders go by in determining your eligability for credit. When you said "I'm reading on their website" what site were you looking at?
The score you need to qualify for an FHA is going to vary by lender I believe. It also depends on other factors such as how long you've been at your current employer and what kind of debt to income (D/I) ratio you have.
Although I have to admit, with the economy the way it is most lenders are tightening up on their underwriting guidelines so you may need to have a score higher than 620 to qualify. Why not contact one of the mortgage profesionals through this site to get a consultation?
Best of luck!
it's true...620 is the new threshold to qualify.
620 is currently the lowest, but ever so often you will find a lender that for a period of a week will allow something lower. I would consult a broker and tell them to keep their ears peeled if anything like this does take place.
once again, ashley, send those people my way, would you, please?
i've seen some folk touting 600-619 lately, but that's only a shortened window before they'll have to comply with the new rules. also, there will always be portfolio lenders who can take higher risks, but borrowers need to understand they'll pay for that privilege.
i've seen some folk touting 600-619 lately, but that's only a shortened window before they'll have to comply with the new rules. also, there will always be portfolio lenders who can take higher risks, but borrowers need to understand they'll pay for that privilege.
Correct, yes, they will pay for that in fees or interest rate, but that wasn't the question asked. The asked if the lowest you could go was 620, and you said yes.
George, this is a memo that just came out.
FHA CREDIT SCORE INCREASE – EXTENSION OF DEADLINE
Due to recent Loantrac outages the FHA Credit Score Increase has been extended. All FHA transactions with a FICO score less than 620 must be locked and submitted to Underwriting by Tuesday March 24, 2009.
FHA CREDIT SCORE INCREASE – EXTENSION OF DEADLINE
Due to recent Loantrac outages the FHA Credit Score Increase has been extended. All FHA transactions with a FICO score less than 620 must be locked and submitted to Underwriting by Tuesday March 24, 2009.
That was from me, i forgot to sign in.
i kinda figured it was, ashley.
I do that at least once per week. I think that is why it appears as though there are over 30,000 members here.
I don't think that is correct eric1. Only when someone registers with Mortgage fit do they become a member. When you forget to sign in and you write something here in the forums you are not being considered as one of the 30,000 members.