Reply
New Member
Ross10
Posts: 4
Registered: ‎08-27-2007
0

FHA LOAN

Hello,

 

My fiance and I submitted an offer on a condo and we're getting our loan application processed.  She has a 550 score and I'm at 710.  WIll it be difficult to get approved for a FHA loan?

 

Thanks

Super Contributor
ShanetheMortgageMan
Posts: 8,254
Registered: ‎09-28-2007
0

Re: FHA LOAN

Most FHA lenders require a 580 minimum score these days, however there are still a handful of lenders going down to the 500-540 level.  With a 540 the rates are over 7% vs. if you had a 620 it'd be low 6's.  Do you need your fiance on the loan to use her income in order to qualify?

 

Is the condo an FHA approved condo?

Valued Contributor
BrianB_The_Loan_Professor
Posts: 1,381
Registered: ‎07-29-2008
0

Re: FHA LOAN

It will be a long process with that lower score - they will have to do a manual underwrite in most cases which takes a long time. They will be looking for recent credit - 12-24 months to make sure there is a current practice of paying things on time etc...

I would suggest letting the people on the offer know that it may take some time and ask for flexibility - if it doesnt work out you should get a pre-approval done on your credit before submitting anymore offers.

 

Good Luck

Brian

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
Brian B The Loan Professor
Mortgage Banker Lending in all 50 states -
Frequent Contributor
LisaJ
Posts: 390
Registered: ‎11-06-2008
0

Re: FHA LOAN

Can you qualify on your own?  I had to do this; my husband's score was 540.

 

To my great surprise, I closed a couple of weeks ago.  Get yourself a great LO.  :smileyhappy:  They are out there! 

WOW! EQ when I joined myFICO: 657. Ups and downs and a few bumps and bruises, but finally back over 700. Whew!

Frequent Contributor
anca21bi
Posts: 356
Registered: ‎07-27-2008
0

Re: FHA LOAN

What lenders are qualifying for 500-550?

 

 

Super Contributor
ShanetheMortgageMan
Posts: 8,254
Registered: ‎09-28-2007
0

Re: FHA LOAN


anca21bi wrote:

What lenders are qualifying for 500-550?


 

Not many anymore, best bet is to go through a mortgage broker.


myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+
}