Financing in 11779>Question Details

dm95901, Home Buyer in Ronkonkoma, NY

i want to buy out my brother on an inherited house. my credit is poor - should i apply for a home equity loan?

Asked by dm95901, Ronkonkoma, NY Tue Aug 21, 2012

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You should begin by meeting face-to-face with a Loan Officer and see if you qualify. You loose nothing by meeting with one and allow him/her to review your credit and necessary documentation to determine IF you qualify, or WHAT NEEDS TO HAPPEN in order to qualify.

Javier Meneses
Senior Loan Officer
NMLS #23130
STERLING NATIONAL BANK
310 Crossways Park Drive
Woodbury, NY 11797
jmeneses@snb.com
(516) 740-4478
4 votes Thank Flag Link Fri Feb 22, 2013
For a complex financial transaction like this it is best you meet face to face with a mortgage professional as there are many pieces of information that will be needed which you may not want to share in Trulia community setting like this.

My contact information is given below if you like to discuss.

Thanks

Sanjeev Ahuja, NMLS #148731
Mortgage Broker
Home Funding LLC
110 Jericho Turnpike Ste 214
Floral Park, NY 11001
Direct Phone 917-517-2552
NYS Registered Mortgage Broker, Dept of Financial Services, Loans arranged through third parties (NMLS # 885573)
0 votes Thank Flag Link Sat Feb 8, 2014
You should consult with a home mortgage specialist and have them review your unique situation before making a decision. We have a great one to recommend if you would like to call our office at 631-585-1055.
0 votes Thank Flag Link Fri Feb 7, 2014
All good points, however, what about some creativity here?

You buy the property from your brother, and he holds a private mortgage. You make monthly payments to him and live in the house while you are repairing your credit, and at such time in future as your credit, income, and equity satisfy lender requirements you refinance getting a mortgage and pay off the private note to your brother.

some details would need to be looked at of course, but it can be done.

You and your brother inherited the house. My deepest sympathies and condolences for your loss of a loved one.

Many things are involved with this, just to name a few: probate status? Is there a mortgage or is the property free and clear? if so, then maybe not as a purchase, but you can work out an agreement with each other. something along the lines of a lease purchase, contract for deed style......it is not as much of a mystery as you might think.

Just because the circumstance isn't cookie cutter doesn't mean you can't figure out a way to structure this. Probably would not involve a realtor or a bank at this moment, but this scenario has a solution.

I'm an agent, but I'll happily take that hat off to brainstorm this with you, maybe give you some good ideas. Ultimately I think this deal gets done with you and your brother hiring an attorney (or you each get one) to do the paperwork once you have ironed out the details amongst yourselves.

Feel free to give me a call. No business agenda, no product or service expected. Just some ideas.

Darryl Shurgin
Real Estate Agent,
(631) 572-6937
0 votes Thank Flag Link Thu Aug 22, 2013
Good evening dm95901,

We see many credit reports with low credit scores (anything less than 620), and often many scores in the 500's. This is BAD credit. If you are one of the folks affected by this terrible economy, you have a low credit score and you have a dream of buying a home, here's some simple advice for you.

It is unlikely you could be approved for mortgage financing with that credit score at this time.

Beware of any mortgage professionals promising you an approval with such a low score. Wait on buying a home. I recommend you take the time to resolve your credit issues.

First, settle any outstanding debt. If you owe money on collection accounts, charge-offs and/or judgments, make payment arrangements and get these accounts paid promptly.

Next, begin rebuilding your credit. If you have current accounts with good payment histories, or even some previous late-payment-blemishes, make sure you continue to pay those accounts on time. If you do not have any existing credit accounts then you'll need to establish several in order to create a viable credit history.

I have found that CONSUMER ACTION is an excellent resource for objective advice on all things credit related. You'll find free and sincere advice on everything from settling collection accounts to rebuilding credit to building credit from scratch on their website.
http://www.consumer-action.org/

Beware of anyone offering to "repair" your credit! The Federal Trade Commission issued a stern warning last year that such offers are scams. Find more from the FTC HERE.
http://www.consumer.ftc.gov/articles/0058-credit-repair-how-…

The best way to buy a home is to have a decent credit history combined with sufficient Income and Assets for a home purchase.

The best way to have a decent credit history is to settle negative outstanding obligations and pay all your bills on time for at least two years.

Trevor Curran
NMLS #40140
Mobile: 516-582-9181
Office: 516-829-2900
Fax: 516-829-2944
PowerHouse Solutions, Inc.
1010 Northern Blvd. Suite 234
Great Neck NY 11021
Licensed Mortgage Banker – NYS Dept. of Financial Services
NMLS#3528

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0 votes Thank Flag Link Mon Jun 3, 2013
you will need to restore your credit history and increase your credit FICO prior to applying for any type of loan. I can put you in contact with someone who can help if you like.
0 votes Thank Flag Link Mon Jun 3, 2013
You should contact and attorney and a mortgage broker to protect your interests. I have two that I highly recommend:
Ralph Pecorale, Esq. 631-656-6600
South Fork Funding 631-389-2250

They are both conveniently located in Hauppauge. Best of luck to you.

Sheri Mott
Listing Pro Realty
0 votes Thank Flag Link Fri Jan 25, 2013
Need more information, but this is not just about paying him his share of the equity. I would speak with an attorney as well. Good luck.
Web Reference: http://www.bverealty.com
0 votes Thank Flag Link Wed Aug 22, 2012
There are other factors besides credit that determine qualification, therefore visit with any licensed loan officer...
0 votes Thank Flag Link Wed Aug 22, 2012
It may be difficult to get a home loan with poor credit. However, there are many other factors that are considered. If you would like, I could get you in touch with our in house mortgage advisor, to see if you can get pre-approved.Feel free to contact me for the contact information.

I hope this answered your question.

Wishing you the best of luck,


De Vonte Williamson, LSA
Coldwell Banker Residential
Proudly Serving Long Island
Office: (631)638-6193
Cell: (631)384-3695
I Stand Behind Getting You Results!
cbmoves.com/DeVonte.Williamson
0 votes Thank Flag Link Tue Aug 21, 2012
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