Home Buying in Oak Park>Question Details

Sharon, Home Buyer in Oak Park, MI

I have a poor credit score but would like to buy a home for 25k with 5k down. How can I find a lender to finance the remainder?

Asked by Sharon, Oak Park, MI Tue Feb 28, 2012

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Good Evening!! It is going to be most difficult to get a low with poor credit in this economy. You could possibly look for properties offering land contract terms. The home on RENSSELAER ST is currently pending and waiting to close.

Good Luck,

Karen Paytas, GRI, CMS
Real Living Kee Realty
0 votes Thank Flag Link Tue Feb 28, 2012
Check with the bank you currently do business with, any other smaller banks, credit unions...
0 votes Thank Flag Link Tue Feb 28, 2012
Hello Sharon, first , most lenders dont do mortgages that low. It cost them more doing all the required work on a mortgage then they would make on the interest of it. Second, FHA only requires 3.5% down but they still required a 620 credit score.
0 votes Thank Flag Link Tue Feb 28, 2012
Hello Sharon,

It sounds like you may have a very hard time finding financing unless you can find a private investor who can make you a cash loan. You should contact a lender just to see what your credit score is and what it would take to qualify for a loan. I know you may be thinking that it may be a waste of time, but it probably is best that you know exactly what you need to work on.

If you contact a lender and find out that you may not qualify for a loan for awhile, then your best option may be to look for a Land Contract or a Lease to Own. Lenders have tightened the lending rules the past few years and the minimum credit scores have risen the past few years.

If you need a lender to talk to, let me know and I will email you a contact to talk to at least.

Thanks and Good Luck,

Elias Realty
(248) 379-6547
0 votes Thank Flag Link Tue Feb 28, 2012
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