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Answers (15)
Best Answer
- Joe Tow, "joetow"
- Contributions:40
It's possible, depends on compensating factors like cash reserves after close, co-borrower's credit scores, income ratios, etc. Each case is different, no cookie cutter answers.
- Mary Papageorge, "Mary Papageorge"
- Contributions:10
Depending on if you need the co-borrower's income to qualify? For an FHA loan the co-borrower does not have to be on the loan, but would be on title. Although when doing an FHA loan - the co-borrower's credit has to be pulled in order to include the debt into your ratios. So, it would all depend on your total gross income divided by your minimum monthly debt along with the co-borrowers to see if you could qualify. FHA is my forte, and I would be happy to assist you.
- Andrew Adams, "203K Specialist"
- Contributions:9349
- cybertech1
- Contributions:4
Thanks for the answers! The collections that are mine are medical from a surgery I had last year. There are a couple non-medical but I am disputing them because I don't know what they are.
From my research on FHA throughout this, it seems Jennifer and Joe are the closest to being correct since my situation is different then someone else with the same score. This has nothing to do with what I "want" to hear (Adam). It is the facts of FHA, each case is different and since most of what is dragging down my FICO is medical collections, I think there is a good chance this can go through (according to my loan counselor).
From my research on FHA throughout this, it seems Jennifer and Joe are the closest to being correct since my situation is different then someone else with the same score. This has nothing to do with what I "want" to hear (Adam). It is the facts of FHA, each case is different and since most of what is dragging down my FICO is medical collections, I think there is a good chance this can go through (according to my loan counselor).
- Dave Mason, "DebtFreeDave"
- Contributions:1315
You may have a tough time getting qualified for an Fha Mortgage. You should talk to a lender and get prequalified first.
- Jennifer Ready, "The Ready Bell Group"
- Contributions:33
It depends on why the credit is 558. If you have judgements and a lot of non medical collections it will be tough unles there is a really good reason why. The best thing you can do is find a FHA pro and see what they think. Anyone who says yes or no without checking out the entire situation does not know FHA. A large majority of FHA is underwriter discretion.
- Andrew Adams, "203K Specialist"
- Contributions:9349
Why ask the question if the best answer is the answer you want to hear, rather than the truth?
Come back in July and let us know how it works out.
Come back in July and let us know how it works out.
- Andrew Adams, "203K Specialist"
- Contributions:9349
Good luck...I hope you didn't put too much down as a deposit...Counting on Bringing your credit score up 40 points by July is risky business!
- Kevin Toups, "TabascoKajun"
- Contributions:110
- cybertech1
- Contributions:4
Thanks for your responses. It is at the underwriters now. Here's the thing. Pulte knew of my credit scores prior to us placing a contract on the house. It is a new construction and will not be built till end of July. The reason they told me to go ahead with the contract is because I just recently (1.5 weeks ago) disputed all kinds of items on my credit report. I had collection accounts that are not even mine on there. So when I spoke to the loan counselor she asked me about every negative and when I disputed it since they will pull another score before closing which wouldn't be till the end of July. I figure by then, all thse accounts I have disputed will fall off and my score will be at the 620 - maybe higher.
Does this make sense that it could work with the FHA loan?
Does this make sense that it could work with the FHA loan?
- Rick Grau, "rick.grau"
- Contributions:39
Won't get approved with that score. Everyone's right, work on the credit. Both borrowers will have to be over 620. Lenders keep tightening, Suntrust already won't do any FHA under 660. Also, since you said your self-employment income can be proven make sure it can be proven by two years tax returns because that's what a lender will want to prove it. One year would not be enough if that's all you have.
- Ken Kopper
- Contributions:1578
Cybertech1, there may be a lender out there for you but you will pay thorugh higher rate and discount points for a loan through the risk that your low credit score represents. I would suggest finding a local lender that can work with you to repair/improve your credit to raise your scores over 620 where you can qualify for the best rates through FHA program
- Michael Yaeger, "yaegermike"
- Contributions:754
I don't think its getting approved. Why dont you spend a few months and get your score repaired?
- cybertech1
- Contributions:4
First time buyer with co-borrow, mid-score of 558 going FHA.
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