Any lenders that do FHA loans with a low credit score?

Asked by Dennis Caplinger, Oklahoma City, OK Sat Aug 6, 2011

Me and my wife are trying to buy a home and want to know if you anybody does FHA loans with low credit. My mid score is 613 and hers is 630. I have done some research and seen that in some cases you can with a 3.5% down payment. Is this true and if so with our credit scores could that come from a gift? Thanks .. Dennis

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19
Jennifer Robison’s answer
Jennifer Rob…, Agent, Broken Arrow, OK
Tue Jan 29, 2013
I have a lender that can help you out. If nothing else tell you what to take care of on your credit to get your score up. The higher the score the better the interest rate so it maybe in your best interest to get your credit clean verses paying a high rate for 30 years. Be smart.

Jennifer Robison
Kevo Properties
405-388-0187
1 vote
Evagail, Home Buyer, Dallas, TX
Wed Jul 22, 2015
FHA allows for borrowers with scores as low as 500 to qualify. We have offered programs like these for years. Now there is a difference between having a 500 or a 580 score and that can be seen with the amount of down payment that is required. Typically it is 10%. Also be sure to note that starting 2014 borrowers with scores under 620 and debt to income ratios are over 43% will now be required to pass manual underwriting. This simply means that you will want to have compensating factors. Factors such as length of employment, assets, solid 12 month payment history, etc. http://www.hud.gov/

Click here for more information: http://fhamortgageinfo.com/
21 votes
Jessica Bate…, Agent, Beverly Hills, CA
Fri Jun 14, 2013
I would recommend The Lenders network they are in Texas and can go down to a 580 credit score with FHA and just 3.5% down which can be a gift. http://www.thelendersnetwork.com

Good luck!
11 votes
Thank you so much! I have been searching for such info..your a life saver:)
Flag Tue May 27, 2014
Mon Jul 20, 2015
Here's a list of FHA Approved list of lenders in Dallas that can help with your search
http://www.homebuyerwise.com/fha-approved-lenders/Dallas-TX_25516
You can also try searching on homebuyerwise.com for FHA lenders all over Dallas metro and nearby areas.
0 votes
Robert Baker, Agent, Edmond, OK
Sat Dec 14, 2013
Call Kurt Swink at 405-722-5626 and discuss financing with him. Let me know once he has you approved and we can go find your new home.
0 votes
Michael Wood, Agent, Oklahoma City, OK
Sun Dec 8, 2013
Dennis, you can receive gifts for down payment and/or closing costs assistance. FHA minimum credit scores are 630--I have some lenders that I work with that have some alternative programs that may very well work for you...give me a call or email me. thanks! mw
0 votes
The Belknap…, Agent, Oklahoma City, OK
Sun Jan 27, 2013
Dennis, the 3.5% down payment assistance offered through OHFA now requires a minimum 640 FICO credit score but you may be able to pay down your credit cards to 30% which would bump your credit score up, allowing you to take advantage of the bond money/down payment assistance in the near future. And as someone else mentioned there is something called rapid rescore which can bump you up quicker in some scenarios.
0 votes
Karen Barton, Agent, Oklahoma City, OK
Sun Jan 27, 2013
I have several lenders that can help you. This can be done! I would be glad to point you in the right direction.



Thank-you,

Karen Barton
Metro First Realty
405-209-8243
0 votes
Josh Barnett, Agent, Chandler, OK
Sat Jan 12, 2013
Call Michael Clutts, Loan officer are Citywide Mortgage. His number is 405-735-8935. He will be able to answer all your questions.

Tell him Josh sent you.

Best of Luck,

Josh Barnett, Realtor
Metro First Realty
Web Reference:  http://www.GetSoldOKC.com
0 votes
Jori Stern, Mortgage Broker Or Lender, Austin, TX
Mon Sep 19, 2011
I can assist borrowers with FHA (3.5% down) in Oklahoma and nationwide.

Minimum credit score of 600 required.

My company received an exception from investors to offer FHA for credit scores 600-640.

Learn more: http://www.primelendingdallas.com/fha-mortgage-credit-600

Jori Stern
Senior Loan Officer
PrimeLending, A PlainsCapital Company
(800) 308-8503
0 votes
Wells Bridge…, Agent, OKC, OK
Wed Aug 10, 2011
Hi Dennis,

There's some good information here. Another idea may be to look into RD ( Rural Development ) properties. You may qualify for more. There's no mortgage interest and they have down payment assistance. Please contact me if you'd like more information. I also work with lenders who can help you.
Best of luck...

Bridgett Wells
Keller Williams Realty
651-9320
bridgettwells@kw.com
Web Reference:  http://www.bridgettwells.com
0 votes
John Phillips, , Oklahoma City, OK
Wed Aug 10, 2011
I am sorry I didn't read all of your question, yes you can use a gift from relative as down payment
0 votes
John Phillips, , Oklahoma City, OK
Wed Aug 10, 2011
I have a lender that will get you financed for a 580 score:
It is a required down of 3,5% and In most cases I can get the seller pay your closing cost:
Thank you
John Phillips
405 413 0791
0 votes
John Phillips, , Oklahoma City, OK
Wed Aug 10, 2011
I have a lender that will get you financed for a 580 score:
It is a required down of 3,5% and In most cases I can get the seller pay your closing cost:
Thank you
John Phillips
405 413 0791
0 votes
Jared Kennedy, , Oklahoma City, OK
Wed Aug 10, 2011
If you visit this website i am sure you will find what you need. https://www.santafemortgagellc.com/santafe/
It is a local company and i am sure that someone there will be able to either help you get a loan or help you improve your score to get it where it needs to be! I hope this helps.

If you are home searching still I recommend using http://www.pruhomequest.com
it is the best Local search site i have found and they have information i literally EVERYTHING you would need.
0 votes
Shay, Home Buyer, Oklahoma City, OK
Tue Aug 9, 2011
there is a program called OHFA Advantage Program through the oklahoma financing agency. The minimum credit score is 620. go to oklahomahomebuyers.org for more info
0 votes
Michael Pier…, Agent, Overland Park, KS
Sat Aug 6, 2011
I agree with Ron & Margaret, the debt to income will be the big determining factor. To answer the second part of your question, yes(if you qualify) FHA guidelines do allow the 3.5% down to be a gift.

Here is a link to about everything you could ever want to know about FHA loans:

http://www.fha.com/fha_loan_requirements.cfm
0 votes
Margaret Has…, Agent, Tampa, FL
Sat Aug 6, 2011
Your mid scores are not too low for an FHA loan, but as Ron noted, FHA is not necessarily credit score driven. A lender will evaluate your score, your income, your debt-to-income ratio to determine if you qualify. And yes, the down payment of 3.5% can come as a gift from a family member. Talk to a mortgage agent to get all the details.
0 votes
Ron Thomas, Agent, Fresno, CA
Sat Aug 6, 2011
FHA loans are not Credit Score driven:
They look at the Debt to Income Ratio.
Interestly enough, a lot of people who have lower credit scores, also have a bad ratio.

Good luck and may God bless
0 votes
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