David Marsh, Home Buyer in West Hempstead, NY

Co-op board approval for 2 people, one with great credit and mine is bad?

Asked by David Marsh, West Hempstead, NY Tue Jan 4, 2011

Hello,
My Fiancee and I are in contract for a co-op in Nassau County, NY.
The co-op cost is only 95,000 and she is 100% approved for a mortgage.
Her credit is 800 across the board.
The problem is my credit is bad (judgement on my report) and a score in the mid 600's.
They wanted my name as a co occupant even tho I have nothing to do with the mortgage.
It is possible we could even get a co-signer to make sure we could pay the maintenance which I am sure we could pay anyway.
Is there any possible way we could pass this board to get this co-op?

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Answers

7
Consult with your attorney, he/she can best advise--generally co-op boards do not allow co-signers--if you are worried about board approval--one option if possible, is to put more down therefore, reducing your monthly expenses--however if your fiancee's salary can carry the mortgage and monthly maintenace on her own, you should be fine--does your loan officer have any suggestions as to what can be done to quickly improve your score, consider asking the question--unfortunately when purchasing co-ops, unless it's a sponsored unit, board approval cannot be bypassed.....again, consult with your attorney, also your loan officer regarding your credit--all the best to you.
2 votes Thank Flag Link Tue Jan 4, 2011
Glad to hear you consulted with your attorney as well....let us know the outcome.
0 votes Thank Flag Link Wed Jan 5, 2011
The lawyer called my fiancee last night and said he is gonna white my name off the contract.
This way I have no ties to ownership and I would just live there.

I appreciate all of your help.
0 votes Thank Flag Link Wed Jan 5, 2011
Glad to hear your loan officer was helpful--good luck to you and all the best....
0 votes Thank Flag Link Tue Jan 4, 2011
Just spoke with the mortgage broker and he is still very confident we will pass the board.
They may look at my credit, but considering my fiancee will be the buyer it will fall on her for the most part.

He said they may ask for 3-6 months maintenance in advance which is what they usually do in poor credit or lower income.

Thank you all again for your responses.
0 votes Thank Flag Link Tue Jan 4, 2011
Thank you Mr. Rosenbaum.
The co-op in question is Hempstead Gardens on Hempstead Gardens Drive.
Not sure how strict they are.
0 votes Thank Flag Link Tue Jan 4, 2011
It depends on the board. Technically if the mortgage and all the other documents are in her name and she is financially capable of making all of the payments and qualifications, the board should look favorably to this. If you as an occupant are on the application might make it more complicated, but I think that if she is fully capable of making all of the payments (mortgage, insurance, maintenance, etc) then you should be ok.
0 votes Thank Flag Link Tue Jan 4, 2011
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