Home Buying in Cleveland>Question Details

crow5716, Home Buyer in Streetsboro, OH

Can we get conventional loan with these credit scores....?

Asked by crow5716, Streetsboro, OH Mon Sep 2, 2013

My fiance and I are trying to buy our first house. We were pre-approved and found our dream home after 2 years of searching. When we put an offer in it was accepted but our pre-approval expired and we needed to get pre-approved again and in that time frame my fiance paid a bill over 30 days late and her credit score dropped to a 590.
The lender we were using said she needs to get it back up to a 680 before he can do anything. Her score is at a 643 now. Mine is a 721. We are both going to need to be on the loan because we need both incomes. We needed to be pre-approved again in the $140k range.
This house we are going for needs to be a conventional loan. An FHA will never work on it.
So my question is can anyone get us a conventional loan with 5% down using a credit score of 643 and 721. Her score might jump up a few more points over the next week or so. Might be closer to a 650 or 660

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Answers

8
Again - the answer is: any lender of right mind, and to be able to give you a more definitive answer, is going to want to pull your credit. Otherwise he/she is "guessing", and what if he/she says, "Oh, sure you can", then they pull credit and find that there are things on it they did not know about, AND your scores don't fall into line. This DOES happen. That is why they pull credit. Also, the credit banks pull is way different than what you get on creditscore.com or any of those. And credit scores do not jump up overnight, and it depends upon the type of issue and its resolution as to how it resolves and increases (your credit score). There are way too many factors to answer this question. The point is to get with an honest, reliable, and ethical lender, and it will fall into place, and the transaction will get done. Worst case scenario? If you are that close, you may need to wait a few months, whether you want to or not. That's the way it is. Lenders are really uptight and locked in to tight regulations right now. They are easing up, but not fast enough.
1 vote Thank Flag Link Fri Sep 6, 2013
Call Ben Gennarelli at First Federal of Lakewood 216-337-2228 or email at bgennarelli@ffl.net
Good luck!

Tari
0 votes Thank Flag Link Fri Oct 25, 2013
I currently deal with a lender who can do Conventional loans with as little as 5% down all the way down to 620, Interest Rate gets a bit better every 20 point increase in credit and at 680 the mortgage insurance factor changes in your benefit too. But it can definitely be done with the scores you are talking about.
0 votes Thank Flag Link Fri Oct 25, 2013
Who is the lender that you use?
Flag Tue Oct 29, 2013
Have you talked with the lenders offered below? Were they helpful?
0 votes Thank Flag Link Fri Sep 6, 2013
None of these answers are very helpful at all. They are just telling me to talk to lenders you know.
0 votes Thank Flag Link Fri Sep 6, 2013
As Tari stated, that is 100% correct, we cannot determine if you are legible for a loan because we sell homes, we do not issue loans on homes. The only person that can determine if you can get a loan is a lender. With your scores in mind however, I am assuming you may be ok... however that 643 credit score may not qualify, they may not allow that particular person on the loan at all. So the one with the score in the 700s may qualify alone, if the income is high enough.
Flag Fri Sep 6, 2013
The reason they are telling you this is because those are people we are associated with (each of us have different lenders we recommend). None of us, as Realtors, are even remotely qualified to tell you how or if you qualify with specific or non-specific credit scores. NONE of us are loan officers/lenders, and as such, do not know the answers to this question. We might "guesstimate" - but that's a dangerous game to play. So, we suggested lenders that we know will tell you the truth and qualify you or not - but they will TELL you if they can or cannot. They will not lead you on. Am I right, here, everyone?
Flag Fri Sep 6, 2013
Wells Fargo has a new program. It would be worth calling them. I understand your need for a yes/no answer and I think you should push them or someone higher up to give you that answer. Everyone will want to pull your information first. I'm thinking the answer is going to be no unless you get an extension and hope it goes up. Try Wells, they may have a conventional program for you.
0 votes Thank Flag Link Mon Sep 2, 2013
Wells has nothing of any merit. They are probably the worst bank to check on things like this.
Flag Mon Sep 2, 2013
Call Ben Gennarelli at First Federal of Lakewood at 215-337-2228 or email bgennarelli@ffl.net. He can help with this. Or maybe your Realtor knows someone? If not, call me. You are not obligated to me if you call and ask questions, by the way!
0 votes Thank Flag Link Mon Sep 2, 2013
Click on the "Mortgage" Tab above and speak with one of the Trulia preferred lenders.
0 votes Thank Flag Link Mon Sep 2, 2013
We were looking for a general yes or no that it's possible if someone can do it. Our lender we were using said it wasn't possible to get us a conventional loan with a score lower than 680.
We'd like to go as far as we can without actually having her credit pulled just yet. We've had 2 different lenders hard pull her credit within the past few months and it affected it a bit. We need to be absolutely positive we can make this work before we have a 3rd credit pull happen all withing 3 or 4 months of each other.
Flag Mon Sep 2, 2013
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