Home Buying in Flour Bluff>Question Details

Bs1103hs, Home Buyer in Corpus Christi, TX

Is there any hope for a first time home buyer with a credit score under 620 to get financed?

Asked by Bs1103hs, Corpus Christi, TX Sun Jun 10, 2012

Help the community by answering this question:


Yes you get a loan now.I tell all my clients with lower scores to visit The Lenders Network, They have helped me close many homes by getting my clients approved even with scores under a 600. So if anyone can get you a loan they can..

Good luck
1 vote Thank Flag Link Wed Jul 10, 2013
Good evening Bs1103hs,

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.

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.

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

*If you thought my answer was helpful, please give me a “Thumbs Up” or “Best Answer.” Thanks!
0 votes Thank Flag Link Wed Jul 10, 2013
While there are lenders who can possibly help you with a score below 620 your best bet is to find a lender or broker who will take the time to work with you. Forget about buying a house and work full time at repairing your credit. Depending on what caused your credit to decline it may be something you can correct fairly quickly. It may also take some time.

Credit takes time to build but you can destroy it with one late payment. I always explain it like this. It may take a second to cut yourself with a knife but the healing process may take weeks or months. Because of this it is important for you to understand your credit and why it is where it is.... also and most importantly, are you taking the steps necessary to make sure it is moving in the right direction and not getting worse or staying the same?

Focus on that first and you will be able to buy again... but it may take some time. If you can't or don't want to wait there may be owner finance options available but you need to proceed with caution when doing this... there are a lot of pitfalls that can cost you a lot of money. You will also need to put down a sizable amount of money as a down payment. So if you are thinking about this route only work with professionals who have successfully worked these type of transactions and know how to make sure your best interests are protected.

Best of luck to you.

Don Groff
REALTOR® | Mortgage Broker
Keller Williams Realty | 360 Lending Group
o 512.669.5599 m 512.633.4157
listings@dongroff.com | http://www.AustinListed.com
Web Reference: http://www.AustinListed.com
0 votes Thank Flag Link Mon Jun 11, 2012
I can put you in touch with a lender who will be able to tell you whether or not you qualify for a loan and what you can do to help get it to a score that would help you qualify for a mortgage loan!
You're asking the right questions and taking the right steps before you start looking for a house. You need to get pre-qualified with a reputable lender and know what price range you need to be looking in!
Once you get pre-approved be sure to find an experienced Realtor who can help you thru the process of purchasing a home! Ask lots of questions along the way because it can be a mind bogling process! A good Realtor should be able to answer most of them or find the answers for you! Good luck! I hope you are able to enjoy the American Dream of owning a home soon!! I would be happy to assist when that day comes!
Cynthia Kimura
Coldwell Banker Pacesetter Steel
0 votes Thank Flag Link Sun Jun 10, 2012
Like the lender says your loan maybe a long shot but may work depending on down payment amount and other factors. Definitely try though rentals are soooo high right now I hate to have any of my clients renting these days if they can afford to buy with rates so low and price of homes still low. We just got a client a foreclosure deal in Flour Bluff in the low 80's for a 3/2/2 in good area !! Thats what to look for and keep on the ball they dont last long these days and don't come around as often either. Would love to work with you to find a similar type deal if you get approved. I specialize in homes that are in great shape that have motivated sellers or are distressed sales such as foreclosures, short sales, HUD, auctions etc. Thanks for your time and best of luck with the loan approval. Call, email, or text anytime.

James Andrew
0 votes Thank Flag Link Sun Jun 10, 2012
I am looking for a home in the flour bluff area atm. Atm i have around 6,000 saved up to be able to put down. Would have had more but have been waiting for sometime now to find a place. I am a first time home buyer, so im looking to not have to put a ton of the money down. The house like you describe on the post could probably fit me perfect. Do you know of any homes i can qualify for atm. Last time i had my credit checked it was in Jan and i have a score of 583 at the time. I have nothing bad in last 7yrs+. Have been paying on a truck for almost a year and a half. Do you think it is possible for me to find a home?
Flag Fri Jul 26, 2013
Your loan file might be a long shot. But if ALL of the bad credit is over 5yrs old.... You have a great chance.

I would be happy to look at your credit report and income/job history.

What % can you put down?

Tom Burris
Mortgage Banker
(214) 763-4629 cell/text/nights/weekends(Really!!)
Lending all across the entire Great State of Texas!!
NMLS# 335055
Search Dallas area MLS for FREE. No registration => http://www.ntreisinnovia.net/cgi-ntr/BR_login?0501134
0 votes Thank Flag Link Sun Jun 10, 2012
My husband and I have had some charge offs over 5 years ago. No bankrupcy or anything like that. We moved to a different state and both started new jobs. We will be in Texas for a year in Aug. We got a new car loan because we haven't had anything current since the time that my husband got out of the service and ran into some financial problems. We have never bought a house before. We want our payment to be under 800 a month.
0 votes Thank Flag Link Sun Jun 10, 2012
There are loans below 620.

They are harder to get than 640+ loans.

What is holding your scores down?

Tom Burris
Mortgage Banker
(214) 763-4629 cell/text/nights/weekends(Really!!)
Lending all across the entire Great State of Texas!!
NMLS# 335055
Search Dallas area MLS for FREE. No registration => http://www.ntreisinnovia.net/cgi-ntr/BR_login?0501134
0 votes Thank Flag Link Sun Jun 10, 2012
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