As has been previously answered, the minimum credit score for an approval of an FHA loan is 620. There are lenders who will allow for a credit score of down to 580, however, these lenders will want significant explanation as to why your credit score is not 620 as well as, additional proof that you can sustain a mortgage. Some of these factors may include, putting more money down, typically between 5-10%, having substantial savings, at least 6 months of your mortgage payment after your closing costs have been paid, as well as, solid job history to name a few. However, you may be able to get the points you need to go FHA in as little as 3-6 months, if you have your credit report reviewed and are advised on how to increase your score by taking specific steps. I'd be more than happy to assist you if you'd like to have a further conversation. Hope this helps!
PanAmerican Mortgage, LLC
Senior Mortgage Consultant
In NJ we have state programs that allow it and there are other states that have them as well.
It is not as easy as it sounds. You will be required to pay off all outstanding judgements and most if not all collection accounts found on your credit report.
You will also have to explain all you lates and delinquencies.
I no longer work with these programs because it takes a very determined buyer in order for it to work out.
It may be far simpler to work on getting your score over 620.
If you are determined and prepared then go do your homework and I wish you best of luck.
You do have to meet the FHA credit requirements. However, I have many lenders that can pull your credit and tell you exactly what you need to pay down on or do wth your creditors and when in order to bring your scores up to where you they need to be and it's a FREE service. I grew up and still do a lot of business in Kankakee County and the primary lender that I refer my clients to for credit assistance is in Bradley. Give me a call at 815-215-4018 or email me at email@example.com if you're interested and I can pass along the needed contact information.
If you follow the federal statues what is based on your credit report it will take approx. 60 - 90 days. as referenced many factors come into play.
I do credit repair consulting across the country, if you contact my office 972-699-9111 you can schedule a conference call between 11 am - 5 pm CST. Our fees are $39 for 15 minutes based on type of review. Paypal account is necessary for us communicate with you.
National Featured Realtor and Consultant, Texas Mortgage Loan Officer, Credit Repair Lecturer
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FHA loan "no". I have never seen a lender deviate from the FHA guidelines by that much. (below the 620).
Many counties have help for First Time Home Buyer's with lower FICO's. Special programs include low down payments, interest rates, & lower guideline standards for loan approval.
I would recommend checking with a local "Direct" lender and if not possible, check with the County that your are wanting to purchase a home in.