Home Buying in Peekskill>Question Details

Luis, Home Buyer in Peekskill, NY

My name is Luis and my credit score is around 560 the last time I checked. I want to be a buyer in that 45-60k range. My income is in that 45-50k

Asked by Luis, Peekskill, NY Sat Aug 20, 2011

What's my chances to qualify for a loan

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Answers

9
Good morning Luis,

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.
http://www.consumer-action.org/

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.
http://www.consumer.ftc.gov/articles/0058-credit-repair-how-…

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
Mobile: 516-582-9181
Office: 516-829-2900
Fax: 516-829-2944
PowerHouse Solutions, Inc.
1010 Northern Blvd. Suite 234
Great Neck NY 11021
Licensed Mortgage Banker – NYS Dept. of Financial Services
NMLS#3528

*If you thought my answer was helpful, please give me a “Thumbs Up” or “Best Answer.” Thanks!
0 votes Thank Flag Link Fri Apr 26, 2013
Hi Louis,
I just listed a studio apartment, completely renovated in the River House for $44,500!
Ilene Goodman
914-645-5972
0 votes Thank Flag Link Mon Oct 1, 2012
Despite your credit score, the price range you are looking in is so low that someone should be able to help you. You are only looking to borrow about 1 year's salary, which is good. Do you have downpayment saved up?
0 votes Thank Flag Link Thu Dec 8, 2011
Luis

I work with some excellent mortgage brokers who may be able to help you with financing. There are still many good programs available. Please email me if you would like me to send your information to them. I would he happy to help you find financing and a home.
0 votes Thank Flag Link Thu Dec 8, 2011
You can begin by checking with the bank you currently do business with, any credit union, any other loan officer; if you don't yet qualify, at the very least you can find out what needs to be done in order to qualify in the near future.
0 votes Thank Flag Link Sun Aug 21, 2011
Try speaking with a mortgage broker to find out how much you qualify for. After you know your mortgage limit you can start looking for properties in that price range.
0 votes Thank Flag Link Sun Aug 21, 2011
Hi Luis,

You will need to do a lot of checking with different banks. As well as the obstacle of your credit score, you need to find a bank that is willing to make a loan under $100,000 and find a property in the $45-60K range.

As well as Wells Fargo, you might want to try Trustco Bank, which is a portfolio lender.

Good Luck!

Sally Griffiths, GRI
Licensed Real Estate Salesperson
Weichert, Realtors
914-967-0460
914-419-2655 (cell)
sgriffiths@weichert.com
0 votes Thank Flag Link Sun Aug 21, 2011
Hi Luis:

The best bet would be a condo as co-ops sometimes have minimum income and/or debt/income ratios.

You can search here like an agent with more detailed information than on the internet.:
https://www.annemariecentury21.listingbook.com

If you would like assistance, just give me a call, 914-774-2764.

Thanking you in advance for your attention to this matter.

AnneMarie Encarnacao
Century 21 Schneider Realty
SMARTER. BOLDER. FASTER.
0 votes Thank Flag Link Sat Aug 20, 2011
Luis I believe Wells Fargo has a program that may be helpful to you if you have a downpayment of at least 10% of the purchase price. Email Marc Giles at Marc.Giles@WellsFargo.com for additional information.
0 votes Thank Flag Link Sat Aug 20, 2011
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