Financing in Wilmington>Question Details

Ms, Home Buyer in Wilmington, NC

My husband and I are first time buyers-we found our dream home, but my husbands score is only 598 (mine is 732). We have 3.5% down payment.

Asked by Ms, Wilmington, NC Wed Feb 10, 2010

Is there still hope? We would like an FHA loan.We're afraid if we don't make an offer fast our dream home will be gone.

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Hey all.....This question is from FEB, I am sure they have figured out where they are going.
1 vote Thank Flag Link Sun Jul 11, 2010
I am state and federally licensed to write mortgages in 31 states for a top direct lender in the mortgage industry who offers conventional, FHA, VA, and USDA loans. We keep your info private not broker it out and we go down to a 550 credit score for VA and FHA loans.. Are lowest score we accept for government loans are 550 when most lenders require a 620 and brokers a 580. You have to have two years of income with a score over 550 with bankruptcies discharge date 2 years and over. We have basic guidelines and a pretty easy process. Feel free to text me or call me anytime up to 10:00pm Eastern with any questions.
Brian Young 214-797-3479
0 votes Thank Flag Link Wed Aug 24, 2016
no one wan help with right answer because people don't know anymore better answer in book of Nostradamus for the year 2012.
0 votes Thank Flag Link Thu Mar 15, 2012
Doesn't matter that it was asked in Feb. It can still come in handy for someone else that may have a similar question.

Most questions seem to be repetative anyway.
0 votes Thank Flag Link Wed Jul 14, 2010
Hey everyone. This question was asked in Feb.
0 votes Thank Flag Link Wed Jul 14, 2010

Find a good Mortgage Broker in your area. They are skilled at finding good loans for all people. Good luck.
0 votes Thank Flag Link Wed Jul 14, 2010
That's why it's important to have a Pre-qual before you even look at homes. That way you have one up on those that don't have a Pre-qual and Sellers will take your offer into more consideration. If you need to use his salary to purchase the home, then have a Mortgage Consultant work with you to see where he can improve his credit. You might need to pay off some past debt or there may just be errors that can be fixed quickly or some bad debt may be getting ready to fall off. Whatever the case, a Mortgage person needs to be consulted with. They have a system that will let them know where you stand and what can be fixed to up that score.

If you don't need his income, then just get the note under your name and the deed under both.
0 votes Thank Flag Link Wed Jul 14, 2010
Go to a mortgage company that can help with credit repair. There is usually something you can work on to get the score up to a 600 or 620 which ever is needed
0 votes Thank Flag Link Tue Jul 13, 2010
Go to a mortgage company that can help with credit repair. There is usually something you can work on to get the score up to a 600 or 620 which ever is needed
0 votes Thank Flag Link Tue Jul 13, 2010
Hello Home Buyer, The very first thing you need is to find and speak with a reputable mortgage broker in your local area. Most sellers prefer an offer that comes with a "Pre-Approval" letter, or at the minimum a "Pre-Qualification". Any good mortgage broker will council with you, not just tell you what you will qualify for.

I know sharing your financial picture with a stranger is scary, and there is always the fear of being turned down. You have to overcome that fear. My own loan officer shared with me that it is always the most honest, credit worthy people who sit across the desk from her with the most fearful expressions. It may help to know whatever you tell the mortgage officer is supposed to be confidential. Mortgage brokers want you to qualify. They don't get paid until you buy your home. The worst thing that can happen is you will be declined. While that may hurt your pride a bit, nothing ventured, no house gained. If the worst does happen, a good mortgage broker will be able to point our exactly what you can do to begin mending your credit. .

By the way, I have know of cases where FHA allows exceptions under some circumstances. For example if your credit score is low because of medical debt for a non-reoccurring incident, you may be able to get the loan anyway.

You should be asking yourselves questions like how much monthly payment do we feel comfortable with? People across the US are losing homes because they qualified for more house than they could possibly pay for. I advocate my clients maintain control of their financial future. My first question is never about how much do you qualify for or even, what price range are you looking in. I ask, "How much do you want to spend or what monthly payment do you feel most comfortable with?"

Good Luck!
Joyce Murphy Realtor
0 votes Thank Flag Link Sun Jul 11, 2010
Hello Ms Home Buyer, congratulations on taking the 1st step in the right direction on making a home purchase. This is one of the biggest purchases you will make and you are spot on by asking questions before jumping in the pool, that's if you want a pool, I can help you find one once my Lender works out the details for you regarding your husbands credit issue(minor). His name is Randy Harrington, cell#626-890-4129, and is a seasoned Loan Officer that is a good friend of mine and business associate. He can pre-qualify you over the phone in 5 minutes then get you to the Pre-Approval stage quickly. I am an experienced agent in the REO (bank owned) and Short Sale end of this business and there are many homes out there with great deals. You need someone that can help you navigate through the banks procedures and as a skilled negotiator I will help you get to that Win-Win situation. I will be honored to work very hard for you and make this a smooth transaction. You can email me at of call/text me at can shop for homes your home here

0 votes Thank Flag Link Sat Jul 10, 2010
There are lenders who will find your husband's score acceptable for a FHA mortgage. Your husband's should go for credit counseling. Unless his low score is due to student loans, he needs know what he is doing wrong.
0 votes Thank Flag Link Fri Jul 9, 2010
I'm going to take a completely different tack on this. The differences in your credit scores reminds me a lot of myself and now ex-husband. Make sure that *you* really want to do this since I'm guessing that the income and therefore credit is yours. Strapping yourself into a big mortgage that takes both incomes may not be in your best interests. Scaling back on what you want to something you can pay for by yourself might be a better choice for you. Pull your heart out of this and use your head. You're making a 30 year commitment (longer than a child) to making a given payment every month, come heck or high water.

Since you're first time buyers, you've been renting. Your shared assets are likely minimal. Keep in mind that if you split up, which isn't that uncommon with big personality differences, half of that dream home will likely be his. That's a bitter pill to swallow when you're the one who slaved to make sure that the payments went in on time and that the money *stayed* in the checking account to cover it.
0 votes Thank Flag Link Fri Jul 9, 2010
You have a few options. You can try to finance the home solely by yourself and then have your husband put on the deed afterward. If your debt to income ratio will not support the amount of home you are looking to purchase then a specialized lender may have a loan program that will work as mentioned by previous lenders. There are a few things that your husband may be able to do to increase his score within a short period of time. It would be best to speak with a lender first. Keep in mind that depending on the housing market in your area, your dream home could be the next home if you miss out on this one. Emotion plays a large part in making various financial decisions that will follow you for years to come. So make sure that your loan program is the best program out there based upon your financial requirements.
0 votes Thank Flag Link Fri Jul 9, 2010
Make the offer now, then immediately speak to 5 different mortgage lenders and bankers. Also, in this market many sellers can offer assistance either with seller financing or rent to own options.
Web Reference:
0 votes Thank Flag Link Thu Jul 8, 2010
Hi, Ms

Like much of the advice already given, first take the time to speak to a LO experienced in comprehensive credit repair to see if there is something you can do now to increase your husband score in a relatively short period of time. There are a number of ways to do this and, again, an experienced LO will know them.

Taking the time to do so could save you thousands in closing costs and 10s of thousands over the life and term of a mortgage.

If you spent the time to wait and find your dream home, doesn't it make sense to show the same patient due diligence in structuring the best way to pay for and stay in it. Be wise and good luck.
0 votes Thank Flag Link Thu Feb 11, 2010
Wow! I should start marketing for AFR Wholesale. They do loans down to 580. You'll need to find a broker set up with them. The lender will use the middle of 3 scores and lowest of the two of you. If your husband doesn't make much income and you do, consider not including him on the loan. If you don't make any money and he does, don't put yourself on the loan if your debts hurt his income. This is an FHA lender.
0 votes Thank Flag Link Thu Feb 11, 2010
Anytime I see credit score inquiries I think back to what I have done myself to correct my credit issues. Many people are right that being credit worthy requires a long term commitment to being responsible with your debt, however, there are things that will help (almost instantly):

a) If the utilities are in your husbands name, and you have paid on time for at least the last six months, call them and ask that they report your good credit history during that time.

b) If you have a car loan (from one of those buy here/pay here places) and you have been paying on time, ask them for a letter outlining your agreement and payment history.

c) Ditto for anything else that may be in his name.

There are too many nuances about credit for me to go into it all in this forum. And, it is difficult to offer solid advice without knowing all the details. That being said, there are many things that will affect getting your dream home. Would you and your husband be interested in a free consultation? We can all sit down, discuss the matter, review the facts, and plan a strategy for you to get into a home of your own.

El Brant, SFR, Broker/REALTOR®
Wilkinson & Associates Real Estate
0 votes Thank Flag Link Thu Feb 11, 2010
Has anyone reviewed your husband's credit to see if there is any quick fix that can raise the score above 620? That would be your best bet. A mortgage company can do something for you called a rapid re-score, where they show evidence that an account has been paid off, or a collection account settled, and the score could go up in a matter of days. I recently did this for someone who had an account that was 30 days late for the month that the report was run. The account was paid off, we had a letter from the company showing a zero balance, and the score went up 50 points after the rapid rescore. On an FHA loan, there is no benefit for being over 740, that is with a conventional loan.
0 votes Thank Flag Link Thu Feb 11, 2010
Dear Ms. Home Buyer,

Usually a credit score of 620 the minimum to qualify for an FHA mortgage product. A credit score of 749 is where mortgage products get competitive and the interest rates are low and exciting. Your credit score is a good score, however if you can get the points up to 749 on both your credit scores, you will qualify for a much better mortgage product. The higher the credit score the lower the interest rate.

Good Luck!

Hannah Fliegel
The Credit Repair Expert
0 votes Thank Flag Link Thu Feb 11, 2010
You should be able to obtain a loan through a mortgage broker under just your husbands name and then put you name on the deed!
0 votes Thank Flag Link Thu Feb 11, 2010
Getting approved with a low credit score is difficult. However, it is not impossible. I have access to a program that takes a minimum score of 580 on an FHA Loan. Call me at 704-488-4296.

Thank you,

Andres Gomez
0 votes Thank Flag Link Thu Feb 11, 2010
You may have found that dream home too soon.

Here's my thinking - a mortgage is a thirty year commitment. People with low credit scores have excellent reasons for those low scores, and they often involve a combination of not always paying on time and carrying large balances.

Bruised credit is analogous to a physical injury - say, you're a soccer player with a torn hammy. The fact of the matter is, you're going to have to sit on the sidelines until that baby heals and the leg re-strengthens, there's no rushing the process, and you have to follow all of the steps.

The problem with Mr 598 is that we need to get him on a history of paying down those balances on making payments on time. The shotgun marriage of his credit score to a 30-year mortgage does not bode well; for both of your sakes, he is going to have to demonstrate the ability to stop buying season tickets for whatever and picking up bar tabs or whatever he's done to earn that 598 rating.

598s are often the result of impulsive, can't-miss-out-on-this-opportunity-sort of purchases. Don't let your 732 act like a 598.
0 votes Thank Flag Link Wed Feb 10, 2010
I have a really great mortgage guy (Eagle Scout) who can have a quick conversation with you and let you
know pretty quickly if he can help. He's really honest and trustworthy. Character traits I like a lot. There have been some changes with FHA so you definitely need to talk to someone soon who can shoot you straight. Call David Flory at 910-313-0045. If you want a cell number, shoot me an email. Do you have a Realtor?
0 votes Thank Flag Link Wed Feb 10, 2010
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