Home Buying in Chandler>Question Details

Melody Newso…, Home Buyer in Gilbert, AZ

Bad Credit Loans

Asked by Melody Newsome, Gilbert, AZ Sat Oct 19, 2013


Are there any loans out there that can help get a house purchased for bad credit? We got stuck in the housing market in 2009 and had to short sale the house, but that fell through and we went with our lawyer about giving the house back to the bank to save the foreclosure or short sale on our record. Chapter 7 BK was claimed and completed 3 years ago. We are really trying to build our credit up and had some hard knocks since the BK and have not taken out credit really. I think my credit is sitting at 540/550. I worked at my last job for 10 years and left in April for a better paying job ($20K) increase same position and career. I would really like to buy a home when my lease is up in February. Is there anything out for me? I am in Arizona and looking to buy in Chandler, Gilbert, or Mesa.

Help the community by answering this question:


FHA lenders can go down to 580, most lenders will not go below 620 but every lender sets their own score requirements. Check with The Lenders Network they work with lenders who accept scores under 600.

Good luck
2 votes Thank Flag Link Sun Nov 24, 2013
Hello Melody,

There are programs out there geared specifically toward borrowers who have had bankruptcies, foreclosure's and/or short sales. They are commonly called "fresh start mortgages. However, most will require a minimum credit score of 600 and a minimum down payment of 20-25%. Seller financing can be a good option to consider as well. Down payments vary greatly from seller to seller with most looking for a minimum of 10-20% down (although I have seen some with down payments as low as 5%). Sellers willing to do carry backs are most interested in your ability to make your payments and turn your credit around to obtain a refinance within 2-3 years (although some will carry the note longer). It is important that you work with an agent that understands and has experience in seller financing when pursuing this option, as the terms of the contract and financing can be complicated.
0 votes Thank Flag Link Sun Nov 24, 2013
It is really hard to get a loan with bad credit. However, if you get an FHA loan and have someone with good credit to cosign, you can still buy a home.
Web Reference: http://azremagazine.com
0 votes Thank Flag Link Mon Nov 4, 2013
You do have some time to do some work on your credit and several of my clients have used a great lender and credit repair company that would be able to look at your scenario. Is this information you want me to send over for you?
0 votes Thank Flag Link Mon Oct 21, 2013
Hello Melody,

Contact Karen Jones 480-339-1577, with AmeriFirst Financial she will help you! Let her know I sent you!

Have a GREAT weekend!

Vivien L Biggs PLC
Prudential Arizona Properties
0 votes Thank Flag Link Sun Oct 20, 2013

I know someone who can put you in a home, you purchase it with whatever your credit score is. You need to have the same down payment as if you were purchasing via qualifying for a conventional means (standard FHA, Fannie/Freddie, Jumbo or Super Jumbo down payments based on loan amount.) The contract is written in a manner that you work toward bettering your credit in 2-3 years, then refi the loan and take on a traditional mortgage when able. It's a win-win for people in your situation. This is NOT a lease option, you own the home from day one. Contact me and I'll refer you into the program.
0 votes Thank Flag Link Sat Oct 19, 2013
Hello Mr. Schnoor,
My wife and I are looking to purchase a home in San Tan Valley within the next year but have poor credit. We just move here from CA due to the lower cost of living and currently renting a home for 1 yr. It's one of of those situations where you make more than enough to afford a home but credit is holding you back. Please let us know if there is any you can do to help.

Best regards,

Tony and Jami Russell
Flag Thu Jun 16, 2016
Can you please contact me?irene.orozco.io@gmail.com
Flag Thu Jan 23, 2014

We might be able to help you. Please feel free to call me at 480-330-1899 or email me at SRoyce@OrangeSkyRealty.com and I will put you in contact with a few different loan officers that may be able to get you started in the right direction, so that you and I can start your search for a new home.


Suzi Royce
Orange Sky Realty
0 votes Thank Flag Link Sat Oct 19, 2013
Have you considered seller financing? It might work for you, In a typical seller financing transaction you purchase the house and the seller will finance the mortgage. You will have between 3 to 5 years to improve your credit and qualify to refinance the property.

If you are interested you can check list of seller financing properties in Chandler, Gilbert and Mesa:


I am available to answer your questions.
0 votes Thank Flag Link Sat Oct 19, 2013
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