My daughter is interested in buying home but her credit score is about 599. She is a first time home buyer and has worked at a market for over 6

Asked by Dazlover, 92394 Tue Nov 17, 2009

years. Does she stand a chance at home ownership?

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9
Johnny James, Agent, Palmdale, CA
Fri Jan 8, 2010
She does stand a chance there are many programs out there for buyers in her position. All lenders do not require a high fico score there are other factors.
0 votes
Emmanuel Gig…, , California
Tue Dec 15, 2009
like others have said a fico score is only 1/4 of the equation. I can get her approved with an 580 fico, but she needs to have the 3.5% down payment and no gift or non occupant bowwoers on the loan.


please contact me directly for more information manny.gigante@newkeylend.com
thank you manny gigante
0 votes
E. Dan Ferre…, Agent, CA,
Wed Nov 18, 2009
I have an option where we can qualify her without her FICO scores. All we need to have is proof of income and that she has been working on the same line of work for two years. Please call for a no obligation consultation.
Dan 323-630-7037
0 votes
Jesse Sierra, Agent, Pomona, CA
Tue Nov 17, 2009
Hi Dazlover,
Have your daughter talk to a direct lender like Bank of America or Wells Fargo.
Best option might be an FHA loan.
Have her take the following:
2 most recent tax returns
2 most recent bank statements
4 most recent paycheck stubs
itemized credit card, car payment, student loans, bills, ect.

That will give the mortgage specialist a better picture.

Rate me if this helps,

Best Regards,

Jes Sierra, B.Sc.
Realtor®
Century 21 Beachside Realtors
Chino Hills, Ca
0 votes
John R Gusse, , Victorville, CA
Tue Nov 17, 2009
I have a lender you may want to have yoyr daughter talk to. If she does not have any deeply serious credit issues and only has a low score because she has little or no credit, then I would recommend that you speak to this gentleman and see if he can help her. H e has specialized in this kind of situation and has been in the business for thirty years. Please contact me and I will direct you to him.
0 votes
Voices Member, , Benton County, OR
Tue Nov 17, 2009
Dazlover

You may wish to have your Daughter take a look at this site. It is the Fed. Gov site of all current Fed loan programs. You can get specific information, compare options, or take a short questionnaire to determine your eligibility for each program......http://www.govloans.gov/govloans_en.portal?_nfls=false&_…

It's a good site for becoming familiar with what's available and the requirements

Good luck, Dunes
0 votes
Jenny A. Le, , California
Tue Nov 17, 2009
She may; however, nowadays, the lenders require at least 3.5% down payment and the borrower's total monthly housing cost can not be greater than 31% of total gross income.

If she considers FHA sponsored loan programs, then gifts and income from non-occupant borrowers (parents) can also be considered for loan qualification.

The credit score is just "one" of four factors the lenders would consider to make an overall credit decision on the borrowers:
1. Character (credit ... payment history)
2. Capacity (Income ... steady and verifiable)
3. Capital (liquid assets ... down payment)
4. Collateral (appraisal value of the home you want to buy)

Go here to learn more about FHA loan programs so that you will be well versed when discussing FHA loan program options with your FHA lender...http://portal.hud.gov/portal/page/portal/FHA_Home

You can search for FHA lenders here...http://www.hud.gov/ll/code/llslcrit.cfm

Or, you can search for Fannie May lenders: http://www.fanniemae.com/homepath/financing/index.jhtml

I hope the information helps.
0 votes
Elva Wormley, Mortgage Broker Or Lender, San Jose, CA
Tue Nov 17, 2009
Hi Dazlover,

There's a chance that your daughter can still purchase on her own even with a score as low as 500.

Here are the requirements:
1. She must have 12 months satisfactory rental history
2. Her debt-to-income ratio cannot exceed 41%
3. No late payments in the last 12 months on her credit report

Hope this helps.

Elva Wormley
0 votes
Sean Dawes, , Philadelphia, PA
Tue Nov 17, 2009
Are you willing to cosign the loan? Her credit score is a little bit lower than where lenders may want.

Does her income qualify to afford a home?

Your best bet would be to go under the find a pro feature under advice and opinions section and talk to a mortgage professional in your area to go over where she stands and what she could afford.



Sean Dawes
Web Reference:  http://www.SeanDawes.com
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