Not having a recent rent history

[Anonymous]

I am a first time buyer.

For the last 3 years I haven't had to pay rent because of work. I travel so much at work that I have no need for a place since I'm only home 6 to 8 weeks of the year.

I do not plan on doing this for no more than 7 years.
I want to mortgage a home and pay it off by then.

Can this cause problems when applying for a mortgage?

[Anonymous]

It depends on the rest of your credit file. How many installment loans and credit cards? How old are they? What's your utilization? Any lates or derogatories or leins or judgements? What's your credit score? What's your DTI?  If all those factors are good or great you should pass the AU and not run into the rental history problem that will be triggered by a manual underwrite.

[Anonymous]

I have

Cap 1 QS MC - $ 0 bal - $1500 CL - 6 Mos old
Cap 1 Secured MC - $38 bal - $650 CL - 14 Mos old
Fingerhut - $0 bal - $ 800 CL - 6 Mos old
I keep a 9% and under utilization on one card
No lates on cards.

Regions Bank Secured Loan
$1300 bal. $118 month No lates 6 Mos old

The only negative I have showing on my credit report is a Dr. Bill for $426 which shows as paid but has a note went in Collection

Not on my credit report is a judgement from 2005. It's paid and has fallen off my report... Don't know if it will even be mentioned. It was released.

The only bills I pay are car insurance, myfico, dish.
Less than $100 a month total.
My cell phone is under my name but hubby pays it.

My car is paid for.

[Anonymous]

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@Anonymous wrote:
I have

Cap 1 QS MC - $ 0 bal - $1500 CL - 6 Mos old
Cap 1 Secured MC - $38 bal - $650 CL - 14 Mos old
Fingerhut - $0 bal - $ 800 CL - 6 Mos old
I keep a 9% and under utilization on one card
No lates on cards.

Regions Bank Secured Loan
$1300 bal. $118 month No lates 6 Mos old

The only negative I have showing on my credit report is a Dr. Bill for $426 which shows as paid but has a note went in Collection

Not on my credit report is a judgement from 2005. It's paid and has fallen off my report... Don't know if it will even be mentioned. It was released.

The only bills I pay are car insurance, myfico, dish.
Less than $100 a month total.
My cell phone is under my name but hubby pays it.

My car is paid for.

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The problem I see is that your accounts are very new. Lenders like to see at least 3 tradelines reporting for a minimum of 12 months and you're about 6 months away from that. Some lenders will waive that if you have some strong contributing other factors. Based on the info you provided I'd say you'll most likely wind up in manual underwriting and rental history will become an issue for sure, along with your short payment history. Do you know your mortgage score? Do you have substantial cash reserves?

[Anonymous]

I didn't mention that I don't plan to apply for 6 months to a year.

Will my fingerhut account count as a tradeline.?
Will this qualify me?
I hate to app for more cards because of the hard pulls.

My mortgage scores are worse than my fico 8

641
657
671

[Anonymous]

30k in savings
I put 5k in every 2-3 months

[Anonymous]

If it appears on your credit report, it counts as a tradeline. So yes your fingerhut counts. In 6 months assuming you dont have any more negatives show up and you keep paying good on the accounts your mortgage scores like your 08s will come up a bit. Your savings are good, I would think in 6 months you will be in good shape. One thing to remember, opt out of prescreened offers BEFORE you get your mortgage credit pulls. That way no one can see you had that triple pull and slap a silly negative on there. There are many companies that do just that.

[Anonymous]

Oh I didn't know that!
Thanks for the tips

[Anonymous]

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@Anonymous wrote:
I didn't mention that I don't plan to apply for 6 months to a year.

Will my fingerhut account count as a tradeline.?
Will this qualify me?
I hate to app for more cards because of the hard pulls.

My mortgage scores are worse than my fico 8

641
657
671

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I'd only apply for credit cards if they come with perks and rewards or something else useful. I'm not a fan of applying for credit cards without a very good specific reason. But that's just me. I only actually have 3, but I have had them for a very, very long time and they all have limits over $17,000 each. One open auto loan, one open student loan, 3 credit cards. That's it. My score may drop a bit when my new mortgage reports, but my scores are all near 800 with only 3 credit cards.