Like others have mentioned FHA is a good source but also Rural Housing. Don't let the program name fool you because it does not mean you need to live in a rural area. It does have some restrictions like where the property can be located and income limitation. The income limitation is very reasonable and most qualify. As far as property location I can send you a map and a link which will tell you the areas.
This program is great because it is 100% financing, the seller can pay up to 6% (of the sales price) for your taxes, insurance, pre-paid interest and closing costs. There is no mortgage insurance and the rate is in the low 5% range currently. This is a 30 year fixed loan, principal and interest payment.
I am a lender and can work with any buyer throughout the State of Oregon. If you visit our website, you can read all about us as well as see we are offering a 1/2 price special. We work at your pace starting with looking at the whole picture and, through a process of elimination, together we will mold your program until it is exactly the way you like it. We are very low key and we do not charge any up front fees. Another nice feature is that I do everything in house. If you click on my bio, you can read several testimonials from current and past clients.
Ambient Home Lending
Toll Free 877-777-9763
You might want to use an organization such as ACORN Housing, They will work with you to help rebuild your credit as well as helping you qualify for a loan. Their loans are funded by Bank of America and Chase. They eliminate a lot of the associated fees that many lenders tack on to loans. They do a great job for first time buyers as well as people purchasing their next homes. Their only fee is $20 to pull your credit report. Good luck.
May I suggest interviewing a few mortgage brokers before approaching a lender? A good mortgage broker will have a working relationship with several lenders, as opposed to a specific banker who will usually only push the programs of the institution that person is employed to represent.
May I also suggest you ask for your free annual credit reports from each of the major credit reporting agencies so you will have an idea of your different credit scores and can review your credit history for errors before you begin to shop around? Having your report copies when you interview people regarding their financing programs will make for a more realistic conversation regarding your options without having your score be lowered more by them each generating an inquiry to review your report.
That would greatly depend on what your actual credit score, history, and income were like. My advise would be for you to sit down with a licensed (not just registered) and experienced loan officer knowledgeable in credit restoration to assist you further. Until then, everything is speculative.
There are some excellent local banks/credit unions and mortgage lenders to work with. If you have an existing relationship with either, that is a great place to start.
I'll provide some names and contact info. of people I've worked with who can assist you. If they can't, they will put you in touch with someone who can. Make some calls and let them work with you in achieving your goals.
Wells Fargo Home Mortgage Luna Yan 541-994-3127
Northwest Mortgage Advisors Dustin Hughes 503-597-3500
Evergreen Home Loans Jerry Iverson 503-234-5160
Wishing you the best.
FHA is a great way to go. I many cases, there are grants available through local non-profits. Most of these will combine with an FHA loan to reduce your out of pocket expenses without increasing your payment over time. Also, check to see if the areas that you are interested in will work for a USDA loan. The funding on these is coming back and they are a great way to go: 100% financing, no mortgage insurance, etc.
They also have the lowest Mortgage Insurance and the best underwriting. If you have a Veteran in the family that can really help you too~!
Sorry for the short answer but get some help on this. Try Countrywide and I can get you a good agent anytime you want to call me.
I am at 503-799-8383.
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