Interested in purchasing a home asap, however I have been told that I won't be able to due to my credit. Need some advice!!

Asked by ariagilmore1, New York, NY Wed Jul 24, 2013

Hi,
My credit score is 662. I filed for bankruptcy in 2009 and it was Chapter 7-discharged. I really need to purchase a home in a better neighborhood, currently I am renting. We are interested in obtaining an fha loan. My loan provider has told me that I will not be able to get pre-approved because there has been no activity on my credit since the bankruptcy. Since then, I have opened one secured credit card, but can any one give me an idea on what to do next? How long should I wait? Would I be eligible to buy foreclosures or short sales? I feel like if I don't buy soon, I might miss my chance at buying a home. Thanks, in advance.
Thanks,
Aria

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7
Javier Menes…, Mortgage Broker Or Lender, Melville, NY
Wed Jul 24, 2013
BEST ANSWER
Aria, it can get tricky with your situation. Lenders are generally looking to see that you have been able to re-establish credit after a chapter 7 bankruptcy. If you have not been able to, we would then ask to see 3 non-traditional forms of credit. These could be proof of payments to any utility bill, 12 months cancelled rent checks, auto insurance, cell phone, etc.

At least 1/3 of my clients need some sort of credit help. I would be more than happy to check your credit and tell you exactly what you need to do to position yourself to qualify for a mortgage. My contact information is below. I promise you that you'll benefit from my advice, I run into your scenarios regularly and all successfully work out.

If my response was helpful, consider clicking BEST ANSWER!

Javier Meneses
Senior Loan Officer
NMLS #23130
STERLING NATIONAL BANK
310 Crossways Park Drive
Woodbury, NY 11797
jmeneses@snb.com
(516) 606-9648 Cell
(516) 740-4478 Office
(516) 918-5383 Fax
1 vote
Also, my yearly salary is about $40,000. My lender said this would not be an issue what so ever, but do you think this could be a problem?
Flag Sat Jul 27, 2013
I have proof of payment, such as phone bills, the secured credit card payments, and rent payments. Could this help get approved for a loan?
Flag Fri Jul 26, 2013
Curly Sue, , Texas
Fri Jul 26, 2013
Find a lender that works with alternative credit. FHA will require 4 trade lines with 12+ months of positive payment history.
1 vote
I have 12+ month positive payment history, such as bills and rent payments. I'm not sure if that counts?
Flag Fri Jul 26, 2013
Nick Sakalis, Agent, Syosset, NY
Fri Jul 26, 2013
You may want to start talking to Mortgage brokers in addition to direct lenders. There may be a solution for you, but it may take some work finding the right lender for you.
1 vote
Sanjeev Ahuja, Mortgage Broker Or Lender, Floral Park, NY
Sat Nov 16, 2013
I can help you in your situation. Please call me to discuss.
Thanks

Sanjeev Ahuja NMLS # 148731
Mortgage Broker
Home Funding LLC
110 Jericho Turnpike Ste 214
Floral Park, NY 11001
Direct Ph 917-517-2552
NYS Registered Broker, Department of Financial Services, Loans Arranged through third parties NMLS # 885573
0 votes
Ron Gaddis, , Clifton Park, NY
Mon Oct 28, 2013
Great Plains National Bank , call us we can help.
--
Ronald Gaddis
NMLS# 1082853
Great Plains National Bank
20 prospect St. 312
Ballston Spa, N.Y. 12020
Corp NMLS#458937
ph:866-962-6698 x.353
fx:888-711-0506
0 votes
Roy Bush, Both Buyer And Seller, Phoenix, AZ
Sat Jul 27, 2013
CFS Mortgage, http://www.cfsflex.com, has a flexible loan program. They allow a mortgage after a foreclosure, short sale, or chapter 7 bankruptcy. There is only a six month waiting period. This is perfect for individuals looking to become homeowners again.
0 votes
Anna M Brocco, Agent, Williston Park, NY
Wed Jul 24, 2013
If your loan officer did not give you suggestions as to what needs to be done, why not simply shop around...
0 votes
She did give us suggestions. The suggestion to open secured credit cards.
Flag Fri Jul 26, 2013
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