Credit Score in 27376>Question Details

blueroberta.…, Home Buyer in Charlotte, NC

My credit score is 578 and would like to buy a home for around 120,000 with 10,000 down. 1,000 a month is that a good deal. or is my credit to bad

Asked by blueroberta.blue289, Charlotte, NC Sat Jul 27, 2013

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Hello Roberta,

I would love to help and walk you through the process. So that when March comes you are able to purchase a property. There are a number of questions I would like to ask you.

Feel free to give me a call at 910-239-1448.

Thank you,

Sophie Munsch
Century21 Sweyer & Associates
910-239-1448
1 vote Thank Flag Link Mon Jul 29, 2013
You can get an FHA loan with a 580 score so your pretty close, usually there is a quick fix to get you 2 points.
1 vote Thank Flag Link Fri Nov 15, 2013
Good afternoon,

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

*If you thought my answer was helpful, please give me a “Thumbs Up” or “Best Answer.” Thanks!
1 vote Thank Flag Link Mon Jul 29, 2013
I would suggest that before you take your hard earned dollars and put them in to a pricy mortgage due to your poor credit score, that you first take a moment and think about this. Please focus more on the entire investment rather than the house price, the monthly payment and down payment funds.

If you are approved for a mortgage loan, your current credit score is going to cost you far more right now in a mortgage than it would if you had a good credit score regarding the same mortgage. Your potential loan fees and closing costs will take a good chunk of the $10K...there goes the full down payment. If you finance the fees and are allowed to incorporate those in your mortgage...there goes any equity the house may have. Considering your potential high interest rate...you may have to own the house for 20-25 years to break even. The higher your interest rate the less you will pay toward actual principal. A massive chunk of your mortgage payment will be interest.

In my opinion, you are way better off just renting for awhile longer and work on improving your score. Given the two scenarios...it's probably way cheaper for you to rent.
0 votes Thank Flag Link Wed Jul 31, 2013
Scores will have to rise in order to get a loan. You will need a minimum of 640... and even there your rates will be higher than if you were in the 700s.
0 votes Thank Flag Link Mon Jul 29, 2013
Please help would like to buy a house in March. I do have a attorney working on my credit. Need to know how to bring my credit score up. Thanks Roberta
0 votes Thank Flag Link Sat Jul 27, 2013
How much of down payment do you have to put down on a house?
Flag Sat Aug 3, 2013
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