I have a 510 credit score. I am about 10 k debt and have a repo from 4 years ago. No credit. Are there any lenders that will consider a home loan?

Asked by missfeary, Austin, TX Thu Jul 11, 2013

Help the community by answering this question:

+ web reference
Web reference:


Don Groff’s answer
Don Groff, Agent, Austin, TX
Thu Jul 11, 2013
No, not with those scores. You need to stop the bleeding and start putting your credit house back in order. That is just the plain truth. You can look back at some of my past answer on how to do this. The good news is you can do it yourself. Don't get ripped off by credit rebuilding companies.

It will take some time from where you are now but in 1-2 years if you do everything right and establish secured credit cards and a secured installment loan you can rebuild. Keep your secured credit card always below the 30% mark of your available credit limit and start saving for your down payment.

Hope this helps.

Don Groff | REALTOR® & Mortgage Broker
Austin Real Estate Pros & 360 Lending Group
o 512.669.5599 | m 512.633.4157 | listings@dongroff.com
websites: http://www.AustinListed.com | http://www.360LendingGroup.com
Web Reference:  http://www.AustinListed.com
0 votes
Susie Kay, Agent, Dallas, TX
Tue Nov 3, 2015
Are you still trying to obtain a loan? If so give me a call at 469-371-2899 and I can connect you with lenders who can help.

Susie Kay
Seniors Real Estate Specialist
Certified Home Stager

United Real Estate Dallas
0 votes
, ,
Tue Nov 3, 2015
BAL investment is now offering low interest-loans for commercial & residential real-estate investment projects.For further information on our funding packages, send in your inquiries via email: projects@businessarealimited.com
0 votes
, ,
Tue Nov 3, 2015
BAL investment is now offering low interest-loans for commercial & residential real-estate investment projects.For further information on our funding packages, send in your inquiries via email: projects@businessarealimited.com
0 votes
John Crowe, Agent, Austin, TX
Mon Jul 15, 2013
Hi, Missfeary.
I like the response below - blunt, to the point. You are much better off focusing on the things you can do today to improve your credit for tomorrow than looking for a creative way to get a loan on a home. I think Don's point is to get the financial discipline in place now, since owning a home will require this and put you in position to be a long-term successful homeowner. Or a little pain today for a lifetime of pleasure tomorrow and on.

Good luck!

John Crowe, Broker
Keller Williams
0 votes
, ,
Thu Jul 11, 2013
Good evening missfeary,

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.

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.

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!
0 votes
Josh Kohl, , Austin, TX
Thu Jul 11, 2013
Its not really possible. There are a few options in regards to hard money but they require a very large down payment along with an astronomical rate and fees. If you want I can review everything and put you on a road map for credit score improvement and refer you to a great credit score repair company.

Josh Kohl
Office 512 342 1069
email josh@bankertexas.com
0 votes
Elham Tarkas…, Agent, Austin, TX
Thu Jul 11, 2013
Thanks for your question, Owner financing might be and option, while you are working on your credit score the best is to consult with a loan officer as far as your financial situation. Please email me elham@kw.com and I can provide you a few names.
0 votes
Search Advice
Ask our community a question

Email me when…

Learn more