Where can I find a list of FHA lenders that approve bad credit?
In: Mortgage Lenders
29
Apr
2010
I currently have about a 515 credit score. I am looking to take advantage of this tax credit and buy something small now. I am looking for mortgage brokers as well, but I want that to be my last resort if i can just apply directly to a bank, etc. Please help…Thanks
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4 Responses to Where can I find a list of FHA lenders that approve bad credit?
Realtyyoudefine
April 29th, 2010 at 12:24 pm
If you have a longstanding relationship with your bank and a good record there, that would be a place to start.
Not sure why you think a mortgage broker would be your last resort. That is exactly what you need to help you sort through the possibilities for you.
You should work with a mortgage broker because they will work with all the lenders to find you the best loan.
With that kind of a credit score you will be unlikely to qualify for a loan unless you have a substantial down payment or other assets.
BUT – that does not mean there are not special programs available in your area.
Again, talk to someone who knows the mortgage market
Sharon T
April 29th, 2010 at 1:19 pm
FHA lenders all have to underwrite to FHA standards so I don’t think you’ll find a list of ones who accept borrowers with bad credit (and more than those not on a list).
Your best chance is to work with a banker that already knows you and/or is local to your area. Your credit score is low but your success may depend on why it is low. If you are just new with credit and don’t have any recent bad history, that will help as long as you have steady income. A larger down payment might also help.
Of course, the other option is to look for a property with seller financing as long as you have a 10% down payment.
My Take on It
April 29th, 2010 at 2:04 pm
You will not get a mortgage with a score of 515.
FHA will sometimes under certain circumstances work with someone with a 580 score, but the typical score is 620.
Janet P
April 29th, 2010 at 2:51 pm
Here is the complete list:
1.
There you go. No lender or bank will think about lending you money.