I received this email from a local lender here in Anchorage. I haven't worked with him before but it may be of some use to you to contact him.
The email reads:
If you have any clients that are having trouble getting pre-qualified for a purchase or if you want to know more about what we offer please contact me. I have attached a flyer for your convenience and for your clients. I have many niche products that may assist you in getting more clients closed. Such as the flyer attached that allows for FHA loans with credit scores down to 500. Also I speak Spanish for anyone’s convenience.
Feel free to contact me for any questions. Have a nice day.
Loan Officer / NMLS#1164838
Primary Residential Mortgage, Inc. / NMLS# 3094
4240 Old Seward Hwy Ste 12
Anchorage, AK 99503
PH -907-331-4000 ext 5 / Cell – 907-301-7694
Otherwise you can contact a lender that I recommend that may be able to answer some of your questions and help you sort out your credit report and outline a plan. Her name is Kimberley Laasch at First National Bank Alaska (FNBA)
Let me know if I can be of any assistance when you are ready to buy a home.
Won't anyone work with us with a financial plan? I've contacted a debtor that I paid and they said they'd remove the remark and the debtor from my collections on all of my reports and have a letter to another who said they'd consider it with a letter I sent last week.
Time crunch. I have to notify my landlord next week on our decision to move the end of May or resign our lease... Really trying not to. :(
Here's the hard news, by paying off some collections, you caused your scores to drop. Older collections tend to count against you less and less as time goes on. When they are paid, they are re-established as legitimate and drop your scores. An experienced lender knows this and a credit repair person would have told you this as well.
There are lenders who do FHA down to 580, but just because your score is above this doesn't mean your approved. With a 580 to 620 score you'll probably need 10% down.
I know I'm not licensed in AK, but have had friends in Eagle River. Talk to a local mortgage broker who does credit repair and see if there may be a way to both improve your scores and get you approved.
If you don't have a great mortgage broker, ask your agent for a referral. Great agents tend to know who'll go the extra mile for a client.