Home Buying in 21224>Question Details

Stephanie Ki…, Home Buyer in Baltimore, MD

My credit is sitting at 573 and I have around 7,500. in cash want to purchase a REO for under 20k does this seem reasonable?

Asked by Stephanie Kidwell, Baltimore, MD Wed Nov 21, 2012

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Yes. FHA loans are available with a 580 credit score and conventional loans with a 620 and 3% are still available. We specialize in matching borrowers with lenders that have the right loan product that fits your situation. Email me or go to our site for more information, it's a free service. Hope we can help.
0 votes Thank Flag Link Fri Nov 8, 2013
Hi Stephanie,

Has anything changed since your post in Nov 2012? Has your credit improved? You still have the $7,500 or have you added to it? I'd like to learn more about your needs and see what could I help you with. Does 573 refer to your mid score or is it the highest of your 3 scores reported to the credit bureaus? Getting a loan on less than $50-$60,000 will be difficult because of "high cost" rules that lenders have to abide by. A Mortgage Banker or Loan Officer can tell you more about this. Call me if you're still thinking about the best move to make. My cell is 410-499-7279.

Thanks,
Marlene
0 votes Thank Flag Link Sun Mar 31, 2013
Dear Stephanie
1st off - Great and congrats on your decision to buy a REO/Distressed Home
What seems reasonable means to you?
What is your goal? (Aka; buy and hold. buy fix and sell (-6-12 months), both within 3-5 years, Live there?)
Have identified a specific area?
It is important to be as specific as possible and you must be comfortable with the area,
Because you will be the one after the home is yours to be there and meet, anyone associated with all aspects of your property. (remodelers, tenants, inspectors, electricians to plumbers, and anything/anyone that would be a part of your support group,buyers,live there at a point in life, let others(friends family... etc..)
I am curious where are you in the process?
By when do you see yourself having the property's DEED of TRUST (YOU ARE THE OWNER) in your name?
0 votes Thank Flag Link Sat Mar 30, 2013
You might be able to make it happen but you would probably need to put in a lot of work in the home. Are you looking for a fixer upper?
0 votes Thank Flag Link Fri Nov 23, 2012
yes but location means a lot I need to be close to 695, route 40 west, 95S.
Flag Sat Nov 24, 2012
Stephanie,
If your score is 573 then you either have unpaid bills (collection accounts & etc) or your balances are too high on your credit cards. Use you $7,500 to pay off bills. Your low score not only affects you getting credit but a job and insurance (car and homeowners).
0 votes Thank Flag Link Fri Nov 23, 2012
every unpaid bill is in dispute and its taking forever. The big ticket is a car repo from relative I co-signed.
Flag Sat Nov 24, 2012
All of us on this thread know that $7,500 can get you a shell in Baltimore City. We're talking total rehab. Unless you want something like that I'd suggest saving more money, building your credit and looking into various programs which offer down payment assistance. I can certainly walk you through the process; you'll need to take the steps which will ultimately lead to owning a home. Without looking at your credit and knowing the specifics here are a few tips that may help in a general sense: 1. get a secured card for $300-$500 and make small purchases like gas or groceries for less than $100 a month and pay the charges off (make sure the card company reports to the 3 major credit bureaus), 2. bring any past due accounts current or enter re-payment agreements with creditors to show your willingness to pay them, 3. begin saving money bi-weekly or monthly towards an emergency fund (you wanna have at least 12 months living expenses in the bank to make buying comfortable and prepare for any hardships down the road). While I can't give any "expert opinion" on lending or finance as a professional I know what it takes to successfully buy homes and hope the above was helpful. Feel free to e-mail or call with additional questions. mrogers@mris.com or 410-866-1170.

All Smiles,
Marlene
0 votes Thank Flag Link Fri Nov 23, 2012
Hi Stephanie,

are you looking to live in this property or use it as a rental property? I have collegues that will assist or show you some steps to raise the credit score.

I would also suggest looking into a small community bank in the neighborhood you are purchasing.

Good luck
0 votes Thank Flag Link Wed Nov 21, 2012
It's very difficult to get a mortgage for under $50,000. You need to get a referral to a loan officer who can help you through the process. I'd be happy to provide you with my list of preferred lenders.
June Piper-Brandon
Associate Broker
Century 21 New Millennium
0 votes Thank Flag Link Wed Nov 21, 2012
Hello Stephanie. What are you planning to do with the foreclosure? Anything under 20k will most likely need a lot of work. How will you fix it up. If this is going to be your primary residence I suggest that you save your money and work on your credit. Hope this helps. For any further assistance I can be reached at 301-440-1489 pr parkerteam4@aol.com. Happy Thanksgiving!
0 votes Thank Flag Link Wed Nov 21, 2012
You may talk to a mortgage banker. Because mortgage banker will be able to give you the right answer for this kind of situation.
0 votes Thank Flag Link Wed Nov 21, 2012
Why is your score sitting? What is keeping you from getting it highe to purchase? I have lenders that will help you improve your score, it may take a couple of months but eventually you will be able to be a happy homeowner. just let me know how we can help you. Have a safe and Happy Thanksgiving!
0 votes Thank Flag Link Wed Nov 21, 2012
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