soonerfan0808 asked:
DH has bad credit(over 500 in a credit score) and we are looking for a home loan. We currently pay a mortgage payment through a relative who owns the house and we definately can afford the payments. Can you suggest a different company??
Thanks
Scott
DH has bad credit(over 500 in a credit score) and we are looking for a home loan. We currently pay a mortgage payment through a relative who owns the house and we definately can afford the payments. Can you suggest a different company??
Thanks
Scott
Tags: Bad Credit, Credit Help, Ditech
try H&R Block mortgage 800-hrblock they do subprime mortgages
great resource for people with less than perfect credit
have someone on your side that understands
there are a million mortgage brokers that can do this.
Check the yellow pages.
First, why dont you try credit repair. Dont use an agency, do it yourself. Buy a book on it at the book store and follow it to the letter. See what you can do. If you remove things or get them modified or reopened, you may be able to improve the score.
Then, you need to get together your last 12 payments to relative. This will be your rent/mortgage history. Hopefully, these are all on time. If not, then perhaps your relative “may discover” all those receipts that he prepared that show on time payment. Next, you will need to get your paystubs, W2, any assets that you might have.
Set this up as a land contract deal back date it two years prior.
You will need money to close. You will have to pay 1 year insurance, set up a tax escrow, and pay closing costs.
To do this right, so you dont get in over your head — trust me, based on the 500 FICO I know, and the banks know, you get in over your head a lot — this process will take about 5 months. Start with the credit repair. Challenge the credit report derogatories with the letter samples in the book.
Shop the deal around to about 3 brokers so you get the lowest closing costs. Tell them that you are shopping the deal, then get them to bargain against each other.
I can help you. Contact me
Call World Savings and Loan, Im an ex employee, currently send them business and just closed a home I bought from my grandma with a gift of 20% down from her. They did not require I have 3 months reserves, and it was the 2nd home I bought in less then 4 months. I hated working for them, but as I know have a taste of 100+ lenders I can see why World Savings is names yearly as Americas Most Admired Lender. I am also doing a purchase for a 19 yr old kid with no credit except for a collection account, his fico is 523 and his mom is giving him 20% down payment. World lends based on the property value and your equity in the deal, they will not be the place to go if you need more then 80% financing. Even the Ditech type of banks are up to about 8.5% on a fico of 537 right now.
Id be happy to explain World Loans to you, but if you search them on the internet you will see its best not to waste time. Wachovia bank will be buying them buy the end of the year and it may change the way they lend pretty soon.
Dont let the chance to keep this home get away, you may be able to keep your relatives tax base and save money the entire time you own the home.
I would talk to the motgage banker at your local financial institution. They know how tofind the best deals and they can occasionally help you get your credit squared away prior to your loan approval/ pre approval.