Profile picture for goldenlove4me

Need to get pre-qualified or see what I need to do to buy a home.

I posted on here last year regarding buying a home in the summer of 2014. It's now the New Year and wanted to know if I should start the process of seeing where I stand on buying a home. Some information about me, Self-Employed, First Time home buyer, I would like to try and do an FHA so down payment will be minimal or I could put down around 15,000. Income last year was over 250,000 (gross) however I don't know if I will claim this much; this is why I need to speak with someone. Also I'm looking for a home in Garden Grove or the Inland Empire. My credit score last year was around 580 and I started to pay down all my credit card debt to see if that would help my score and it did, however during the holidays I ran some cards up again. I have a middle score that I ran today on Myfico.com of 618. I would like to try and get it higher, but also want to see where I stand on the house buying part. My lease is up here in July so I do have some time. Thanks in advance.

  • January 27 2014 - Garden Grove
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Answers (7)

Golden4love.  

The best thing for you to do would be to consult a lender and have them discuss the different opportunities and the best fit for you at your current time.  [contact information deleted by ZIllow moderator. Please see our Good Neighbor Policy for posting guidelines]

Landon Miller
  • February 03 2014
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It's great that you have been improving your credit and finances but you should talk to a lender as soon as possible. Although you do not plan on buying until this summer, it would be wise to get your finances checked by a lender as soon as possible so you can see if there are any financial problems that would occur. So it would be better to take care of these problems now than to discover them later on when you are trying to buy a home. When it comes to your credit, you are already good enough for FHA, but if you want more options keep working on getting them above 620. If you are above 620 then you can have FHA and conventional options available to you. The best thing for you to do is to speak with a lender such as myself to see if you can get started on financing a new home. If you have any further questions or if you would like a loan, feel free to contact me.

Good Luck!
  • January 30 2014
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Congrats on starting the process for your first home purchase. I would recommend paying off your debt and continue to pay all your bills on time before you start your home search. More than likely you will need a higher FICO in order to qualify for the best rate and programs. Here is a video that my clients have found helpful (link is also on my FB business page):

https://www.youtube.com/watch?v=MEniw46-U-U

Thanks,

Jason Walter

REALTOR® - lic #01923240
Certified Public Accountant (CPA) - lic #103885

  • January 29 2014
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You should stop by my Cerritos office off of Artesia and Bloomfield or shoot me an email.  Really need to check those tax returns especially before you file for this year as it could make a huge difference in what you can afford.  Shoot me a message and I'll get back to you same day with my contact info. 
  • January 28 2014
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It is a great time for you to get in touch with a lender that will assist you with a free credit analysis, income analysis and help you put qualified scenarios and options together that will help you make the right informed decision and navigate you through the process.
  • January 28 2014
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Profile picture for JustinLeffew
Talk to a lender and ask what you need to do to get your credit score up as high as you can between now and May/June (whenever you will likely make an offer). If you're looking to make the minimum 3.5% down payment of $15,000, you're looking at a purchase price of $428k. Mortgage insurance on that will be getting up there close to $500/month. I know your credit is a bit low now but if you can get it up a bit and go conventional with 5% down, you will be in a much better spot financially. 

*In addition, you'll want to check what the FHA county loan limit is wherever you are looking to buy.
  • January 28 2014
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Yes, its time to talk mto a lender. Depending on the purchase price of the home and the debts you have will determine how much buying power you have. Which will result in the gross income that you will need. You will also need to increase your Fico score. A good lender can guide you through the process.
  • January 28 2014
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