That said, I would be happy to provide that service for you, should you be interested. You can contact me here at trulia ... or at the website below. I wish you the best of luck, no matter what decision you make ...
Have you checked with a lender about a FHA mortgage. If you don''t qualify for that you have 2 chosices:
buy the house as an investment property with your parents. Your parents would be the only ones on the mortgage but everyone is on the deed.
you take the steps you need to take to improve your credit scores.
second, FHA won't work unless your parents acknowledge they will be buying it as their principle residence and will occupy it..(and don't have an FHA loan on their own home) ..they could be non-occupant co-borrowers, on an FHA purchase with you, but it's the same problem previously dicussed....you would have to be the principle borrowers and that can't happen.....
-the way to do your deal is to have sufficent downpayment to go to a bank in illinois that will take you and your husband's credentials or with jointly with parents....
you could also ask parents to buy the home as an investment property..(conv. mortgage w/ appox. 20% or more down) close the deal and then quit claim deed from themselves to you, your husband and themselves.... with joint rights of survivorship...i suggest not recording the deed...at least not right away..it doesn't have to be recorded to be valid...it violates the "due-on-sale" clause in your mortgage...as long as it's written around state law and in a recordable format, it will solve the credit issues tripping up your file....until you can do a rate and term refinance to get parents off the loan..at that point, the qcd would have to have been recorded for a minimum of one year prior to the refinance...
hope that helps.....
While VA loans are great, you should shop around.
If your credit is the issue, then you have some work to do. You should work on your credit while rates are down.
Here are some things you can go to work on today:
Private companies are going after the subprime loans again. Here is an earlier story that gives some direction on rent-to-loan arrangements:
If you live in an area that has been hard hit by foreclosures, then you might want to investigate a HUD loan:
PML of Longmont, CO
I talk about how credit scores and mortgages work in the short video with the link below. It addresses your question about the co-signor.
You have a great question. The lenders will not allow anyone with credit that does not quaify, on a loan at all. Although a VA loan is great, it can be more costly while obtaining it. Look into an FHA loan allow your parents to apply for the loan and then you and your husband can be placed on title along with your parents after closing. Then in a year or two when you and your husband have straigtened out your credit you can finance the home on your own. I have an extremely knowledgable loan officer and a fairly inexpensive credit repair person that would be happy to help if you like.. Also if you have any questions please do not hesitate to ask, I would be happy to help as well!
Call me if you want some assistance and recommendation on a loan officer and home hunt questions. Oh ya this 1st meet service the loan officer gives and pre- approval letter work is all FREE. There will be no charges unless you purchase a house. So Good Luck and Happy Home shopping