I brought all of my accounts current
I have 2 major credit cards, 1 department store card
I have a 5% balance on my credit cards
I had a lawyers office ($500 I paid) to work on my credit. To my surprise, many companies break the law and post things on your credit report and they have no legal right to do so. It's sad that you have to get lawyers involved but it was $500 well spent. Out of the 116 point increase, I would say at least 80 points was due to the lawyers working on my credit.
Hope this helps
There are several programs that can help you work on raising your credit score as well as helping you manage it. I work with some wonderful lenders who have guided my clients and have successfully help them buy a wonderful home. Lancaster County also has the LHOP program which gives you a loan of up to $5,000 that you wouldn't need to pay back unless you sold your home. Give me a call and we can chat some more or if email works best for you that is great also!!
Thanks so much! I look forward to helping you buy a home in the future!!
Yes, I know credit issues can be external, medical problems are a good example. But how you attack them are personal decisions, just like any other credit issue. Good luck,
NMLS # 6395
Financing Kentucky One Home at a Time
~Cheryl A. Fuss, REALTOR with Gateway Realty 120 North Pointe Blvd., Suite 200, Lancaster, PA 17601.
There are some steps you can take to get started. You have credit issues so you need someone to look at your credit. You need someone to take some basic loan information and someone to assess your situation against the various mortgage guidelines that are out there. Then, if your credit score is not up to snuff, you need someone who has the ability to guide you as to what you need to do to be in a position to get a mortgage. Once you have done that, then you will be ready to find a local Realtor and start looking for a house.
This is what I do every day and I turn people like you into homebuyers.
Cornerstone Lending Inc
Southampton Pa 18966
215 953 0800
cell 267 992 7276
VOTED BEST IN BUCKS 2010 & 2012
NMLS ID 143960
Congratulations on deciding to purchase a home, I'm sure that it took a lot of thought and consideration to bring you to your decision. I also commend you on realizing that seeking loan approval before you begin searching for a home is very important and can spare you loss time and disappointment. One you have your loan approval letter. the lender will inform you of your buying power and what to expect for your monthly payment and how much money you may need for a down payment and closing costs. Then you are ready to search for a home and because you have your loan approval in order should you find a home that you would ike to make an offe,r you will be able to so, without losing any time.. Some buyers make the mistake of searching for a home for months and then are disappointed to find out that they don't qualify or that they qualify for a lesser priced home.
There are multiple degrees of credit challenges. Each type of residential financing program such as FHA, VA, PHFA or conventional has varying credit guidelines. Many may require a certain middle credit score such as a 640 minimum before any discussion of financing may be available to you. Others such as the USDA Direct Program will provide approval if you have a zero credit score, or if you have been self employed for less than two years. However this program has other strict requirements such as income maximums and no outstanding collection items regardless of how old they may be are allowed unless they are paid. Other programs will allow for some outstanding medical bills as long as you have not had any late payments in the last year, your middle credit score is 640 and you show two years of continued employment and it has been 3 yrs since a bankruptcy discharge (if that is applicable) and that you can provide tax returns for the past two years.
Then there are guidelines regarding your total monthly debt versus your total monthly income, that ratio is very important and it will affect what your maximum mortgage payment can be. As you can see there are a variety of programs that all have unique qualifying requirements that encompasses more than a good credit score and history.
Also you should know that there are local banks that may have less stringent credit requirements. Some of them may partner with non-profit groups they can assist you with downpayment and closing cost monies.
Should you contact me I maybe able to review your credit with a lender and help you decide which program will best suit your needs. Then the lender can create a plan to improve your credit position if needed, so that you will be on the road to home ownership. For some individuals it may take a short time, as little as a month or two to improve your credit while for others more time may be needed.
I hope the information I have provided to you will present a standard to begin the home buying process. Thank you for your inquiry. Please contact me with any other questions or real estate needs that you may have.
Mary Lynn Kellenberger
Castellum Realty LLC.
2938 Columbia Ave. Suite 602
Lancaster, PA 17603
Cell: (717) 606-4340
Fax: (717) 666-6350
Toll Free: (866) 980-8700
The Right Realtor For Your Real Estate Needs!
For example, you may get an FHA loan requiring as little as 3.5% down payment with a credit score of as low as 580! And by the way , that is a "regular" loan with a "regular" interest rate.
There is also another program does not have a minimum qualifying credit score.
Again, it will all depend on your particular situation.
My advise for you is to pick a Realtor, meet with them face to face to discuss your own situation and find out what options may be there for you.
Hope that helps, all the best,
Please feel free to text or call me at 717-669-7894. I am always available to talk about options. I work with many first time home buyers who often never thought they could buy. I'll talk to you soon-
Prudential Lancaster RE