So, I'm going to be getting married on 5/17/15 and am looking to apply for my first home as early as this August, but a more realistic goal would be this December. This is my information:
- Credit - FICO 2/5 Scores provided by myFICO as of early this month are EQ 618 & EX 617. I had a lot of student loans I defaulted on from approximately 2009, but are now closed and paid off due to me consolidating them into a Direct Loan which is current. I have a settled collection from FCO from 2012 that I am trying to have removed; a Chapter 7 BK with an April 2014 filing and an August 2014 discharge date, a 2009 judgment for a Cap 1 card that is satisfied and trying to have removed, and two old revolving accounts on my EX report (1 being Cap 1 that is paid from the judgment and an old Chase that is a charge off) that will fall off in April.
- Income - I make $33K as a government employee and am trying to get my photography business off the ground, so no income (currently) from my business.
- Monthly Debts - I have 5 revolving accounts: 2 consumer Cap 1 cards (a secured card and a QS1) and 1 Cap 1 Business card; 2 store cards (Express & Gamestop) that don't get used. I've managed to bring utl on the consumer Cap 1 cards to under 10% recently and hope to keep that up. The Cap 1 Business card is currently at 36% utl. The Gamestop store card is paid off and the Express card should be paid off by March. I pay ~$500/month for my cards. My consolidated student loan is $160/month. And I have an installment loan that is under $2K at $47/month. No car.
- Employment - I currently work full-time contractually, hoping to be converted to a permanent employee and have my photography business on the side. Been with the government for 7 months and before that, worked in healthcare for over 3 years. The photography business has been up for 2 months.
- Assets/Reserves - Practically non-existent, but hope to change that very soon.
- Location - Currently in Maryland, looking at Baltimore City or County. I'm aware of the Maryland Mortgage Program and other programs tied directly to it.
- Property - Looking to move into a single-family home or townhome. Homes would be in good condition or relatively updated to code and offerings.
- Value - Would be looking for a home for no more than $160K.
- Occupancy & Transaction Type - Primary residence and first purchase.
This does not factor in what my fiancee has going on (excellent credit in the FICO 8 720s; a car loan at ~$300/month; student loan repayment at ~$150/month; and 2 credit cards that hover around 50% utl; full time government employee; and some savings).
I need some advice as to what I can do to help make the process of buying a home a bit easier. What should my target score be, what can I do raise the score to a respectable level in 6-10 months, etc.
Thanks for your help!
From your post you said that you filed Bk in April 2014 and you were discharged in August 2014. I assume this was a Ch 7 Bk, individual for you.
^^Based on that information, it looks like you will need to be two years out from your discharge date before you can obtain a mortgage (two years only instead of three since you never had a mortgage before).
Use that time to build up your savings and have time on your new job. I see you have a new job for the last 7 months, is it in the same career as your previous employment? If not, the lender is going to want you to have two years in this line of work anyway.
Congratulations on your upcoming marriage! Believe me, an extra year before you buy is not necessarily a bad thing 
Okay, so be two years removed from discharge. Guess there's no getting around that.
My current job wasn't in the same industry as my last one. So if two years of employment history in the same job is the standard, then that would fall in line with the BK requirement.
Thank you! I was thinking we could go an extra year before buying, but at the same time, I was also thinking that putting money into a mortgage would make more sense than putting it into an apartment after marriage.
My current job wasn't in the same industry as my last one. So if two years of employment history in the same job is the standard, then that would fall in line with the BK requirement.
Thank you! I was thinking we could go an extra year before buying, but at the same time, I was also thinking that putting money into a mortgage would make more sense than putting it into an apartment after marriage.