Financing in Fort Worth>Question Details

Voices Member,  in

A realtor was telling me about a mortgage broker who could lend on a credit score down to 600 or 605. Who are they and how can I find them?

Asked by Voices Member, Thu Oct 27, 2011

Help the community by answering this question:

Answers

22
If your score was a 600 when it was last checked, it's possible it's a 599 or less now depending how long ago your last pull @ 600 was. I have a legitimate associate (and I can vouch for the fact that he doesn't know the Easter Bunny) who works at another bank (they don't allow him to online market so I can't put his contact info here) who can lend down to a 580 credit score. If you meet the criteria they have to loan in the 580-599 range, he can get you closed (I worked on a deal that turned into a rehab he sent me in the past. He was as thorough as I am with documentation and efficient at communicating).

Just email me and I'll forward his contact info.
Web Reference: http://RobWeber.com
3 votes Thank Flag Link Thu Oct 27, 2011
I have to correct myself. We all are so used to borrowers putting down the minimum down payment that we sometimes forget the guidelines are different for higher down payments. For MAX financing, 580 is the floor. FHA will insure loans lower than that but the chances of Ginnie Mae/Other Investor making the lender buy-back that loan go up significantly which is why there are so many overlays for it, if anyone is willing to stick their necks out.

Here's the mortgagee letter that talks about this specifically:
Mortgagee Letter 10-29 -- http://www.hud.gov/offices/adm/hudclips/letters/mortgagee/fi…

This is the exerpt from it:

In accordance with the final Federal Register Notice [FR-5404-N-02] on
minimum decision credit scores and LTV ratios for FHA-insured single
family mortgages, the new requirements are

* Borrowers with a minimum decision credit score at or above 580 are
eligible for maximum financing.
* Borrowers with a minimum decision credit score between 500 and 579 are
limited to 90 percent LTV.
* Borrowers with a minimum decision credit score of less than 500 are not
eligible for FHA-insured mortgage financing.

As others have said, lenders reserve the right to impose overlays which is why most lenders won't go below 620 as the chances of an audit/buy-back go up astronomically.

Sorry all for the miss!
Web Reference: http://RobWeber.com
2 votes Thank Flag Link Thu Oct 27, 2011
If a Realtor stated that to you WOULD NOT BE easier to contact that agent direct ?

Lynn911 Dallas Realtor & Consultant, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
972-699-9111
http://www.lynn911.com
2 votes Thank Flag Link Thu Oct 27, 2011
Hello Lucy

I am not licensed to perform business in Texas.. However the lender I provided is. I am not affiliated with them in any way. I came across the post and responded as I felt I had a pertinent answer.

Alan
1 vote Thank Flag Link Fri Oct 28, 2011
I have mortgage programs for scores down to 560.
Obviously the rates are higher than for those with 620 but that is to be expected. If someone comes to me looking for these programs I would try to improve the credit score first to save them as much money as possible. A couple of hundred dollars on a rapid rescore can save thoudands of dollars. I don't dispute collections nor do I pay them off. That's a waste of time. I try for quick fixes that will impact the score immediately.
These programs are not for everybody. I will tell my clients that if they can get the score above 620, then they wikl save money. Some won't wait and some can't wait, but at the end of the day the program will be affordable to them because the debt to income ratios are the same as any FHA program.

I am licensed in Pennsylvania but would be happy to help someone find a broker using my lender in other states.

Regards,
Alan Openshaw
Cornerstone Lending Inc
Southampton Pa 18966
215 953 0800
cell 267 992 7276
VOTED BEST IN BUCKS 2010 & 2012
NMLS ID 143960
0 votes Thank Flag Link Thu Sep 13, 2012
Any updates to the original question here?
I fall into the same 600-620 mid-score scenario.
I am looking to purchase a property within the next 30-60 days.
Purchase price of $417k
Down Payment of 20% (up to 25%)
Loan Amount $334k (or slightly less)
In June 2012 I traded my 2010 truck for a 2012 SUV and Leased another 2013 SUV which greatly affected my scores.
Had to short sale my home in May of 2010.
MY last 3 mortgage credit pulls were: [Equifax, Experian, Transunion]
3/5/2012 [647, 655, 589]
7/2/2012 [596, 627, 614]
8/2/2012 [591, 614, 605]
My most recent Credit Score.com and Creditkarma,com scores are 627 and 632 respectively.
Have already been through 4 rounds of credit repair.
Afraid to do another hard inquiry as it is hurting me more at this point.
I am anxious to get a deal closed very soon as we have found the perfect house and are tired of paying the mortgage for somebody else in terms of renting. PLEASE HELP!!!
0 votes Thank Flag Link Wed Sep 12, 2012
Danny Akbar, danny@arraycapital.biz, 972-242-1212. He can do it with the lower credit scores.
When you are ready to look for a home let me know.
Dave Buske, 817-980-9436, Dave@DaveBuske.com
0 votes Thank Flag Link Fri Oct 28, 2011
Would like to know from the responses on this link - which of you Lenders are licensed to do perform business in Texas?
0 votes Thank Flag Link Fri Oct 28, 2011
Rob

Weak lenders seek the hardest niche to fill.

I have seen it online for years.
0 votes Thank Flag Link Thu Oct 27, 2011
Hello Buyer

Pacific Union lends down to 560
http://www.pacuniondirect.com

Best Regards,
Alan Openshaw
Cornerstone Lending
Southampton Pa
267 992 7276
VOTED BEST OF BUCKS 2010
0 votes Thank Flag Link Thu Oct 27, 2011
You might check with Wells Fargo Home Mortgage at a local Wells Fargo branch closet to you. I attended a Cine-meeting half/day conference back in March with Brian Buffini that was sponsored by Wells Fargo and some of their local reps spoke to us at the end and they said they had some loan programs for customers whose credit score was in the 500 range. I don't remember all the details, but it may require a little bit more of a down payment, like 20% vs 10%. It would be best to check with a local branch and they would be best able to help you. I hope this helps.
0 votes Thank Flag Link Thu Oct 27, 2011
Hello,

There are many lenders that will go as low as 580. I broker with Wells Fargo and many others who have this type of program. The problem is you need to fit into a box and people with 580 usually do not fit. While its possible your best bet is to find a reputable lender or broker who will work with you and take the time to get your credit moving in the right directly. Why buy something with a 600 credit score when you can wait a few months if you do the right things and get to a 640. Once you get to a 640 you can get an FHA loan in most cases at the very same rate as somebody with an 800 credit score. That is good information to know so you do not get taken advantage of. So I recommend you go to work and get your credit moving in the right direction. If you are in the 600 range you can have those scores up to the 640 range in no time... as long as you do the right things. Find somebody who knows what that is and will take the time to get you there.

Best of luck to you.

Don Groff
REALTOR® | Mortgage Broker
Keller Williams Realty | 360 Lending Group
o.512.669.5599 m.512.633.4157
listings@dongroff.com
0 votes Thank Flag Link Thu Oct 27, 2011
I think I saw that mortgage broker having lunch with the Easter Bunny.

In my opinion your best efforts would be made to improve your scores and at least get them over 640.
0 votes Thank Flag Link Thu Oct 27, 2011
Hi Interested Buyer! I have a great mortgage broker that I work with who can not only get loans at 580, but he also has a 100% loan program! And he's really good with helping buyers work thru credit issues, if there are any.

Call me at 972-689-0271 and I'll provide you with all his contact info.
Web Reference: http://www.DFWTXRealtor.com
0 votes Thank Flag Link Thu Oct 27, 2011
You will pay more for your mortgage in interest rate than those that have a 620+

I have seen people pay down credit cards $300 and get 30 points on their FICO.

If you would like some supporting documentation out of my book about credit, email me and I will reply with a free copy.

Tom Burris
Mortgage Banker
DallasLoanGuy.com
(214) 763-4629 cell/text/nights/weekends(Really!!)
tomburris@dallasloanguy.com
Lending all across the entire Great State of Texas!!
0 votes Thank Flag Link Thu Oct 27, 2011
You may talk to a mortgage banker find out what kind of option you have, it needs to be consider upon your situation.Good luck.
0 votes Thank Flag Link Thu Oct 27, 2011
Try Chalamaine Carr at Alterra Mortgage. She can handle down to 580 FICO. Her email is ccarr@GoAlterra.com

Good luck!


Jackie
0 votes Thank Flag Link Thu Oct 27, 2011
There are some programs out there that will allow you to qualify with a credit score as low as 580. The important thing to do is make sure you get preapproved before you start your home search.

If you are working with a Realtor already, you should get with them and they can direct you to a couple of lenders they use on a regular basis. If you are not working with someone I would be happy to talk with you and get you in touch with a lender I use.

Good Luck,
John Reaves
Keller williams Realty
817-920-7700
0 votes Thank Flag Link Thu Oct 27, 2011
Each person options are different, but there are many options for people with less than perfect credit. There's one program in particular that many of my clients have had success with. You can have a credit score as low as 580 and you can get a new home built while they repair your credit for free in the process. They will also pay up to $7000 for your closing cost plus a free home warranty and title policy. The only thing you have to pay out of pocket would be your $500 earnest money check.

BONUS, I also rebate all my clients a $500 cash back rebate check at closing which means your total out of pocket to move into a new home would be $0 Call me at 817-965-1022 and I would be happy to answer any questions you have.

Best Regards
0 votes Thank Flag Link Thu Oct 27, 2011
Great reply Corey. How have things been?
Flag Fri Oct 26, 2012
Call WestStar Mortgage at 817-778-4645. talk to Kristi or Cory.
Lela Nichols, Ebby Halliday Realtors, 817-266-1166
0 votes Thank Flag Link Thu Oct 27, 2011
I do FHA loans down to 500 fico. As long as I can get an electronic approval. There are some other conditions as well. No BK's for 2 years, no loan mods or foreclosures for 3 years, and there is a hit to the rate. I am only licensed in CA but my company is licensed there (actually 14 states) and there are people in my office that can help you with that.
My phone is 657-269-5720.
0 votes Thank Flag Link Thu Oct 27, 2011
Search for a local mortgage broker who handles government financing programs like FHA. You probably won't see FHA listed as the use of the term is being limited.
Web Reference: http://www.archershomes.com
0 votes Thank Flag Link Thu Oct 27, 2011
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2014 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer