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Frequent Contributor
SSH0126
Posts: 332
Registered: ‎02-22-2009
0

Possible

Is is possible to be approved for a mortage if you have 680 credit score and

 

@20% down

 

Had terrible credit before(lates charge offs)(2.5yrs ago) but since have had below 10% debt utilization

 

No lates in 2.5 yrs

 

Been on current(have no plans of leaving) job and in current field for 2.5 yrs as far as employment

 

Pretty much have only had previous 2.5 yrs of no mistakes

 

Be gentle plz...

Valued Contributor
JM-AM
Posts: 3,302
Registered: ‎06-09-2010
0

Re: Possible

 


SSH0126 wrote:

Is is possible to be approved for a mortage if you have 680 credit score and

 

@20% down

 

Had terrible credit before(lates charge offs)(2.5yrs ago) but since have had below 10% debt utilization

 

No lates in 2.5 yrs

 

Been on current(have no plans of leaving) job and in current field for 2.5 yrs as far as employment

 

Pretty much have only had previous 2.5 yrs of no mistakes

 

Be gentle plz...


Yes it is possible even with less then 20% down.

 

Good Luck
May all your dreams and wishes become a reality!
Frequent Contributor
SSH0126
Posts: 332
Registered: ‎02-22-2009
0

Re: Possible

Oh and I forgot we have 50k in student loans

Moderator Emeritus
Lel
Posts: 5,267
Registered: ‎03-18-2008
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Re: Possible

Based on the info provided, you have a pretty decent chance at approval, provided that your salary is sufficient to pay for the home that you choose.  The student loans, if currently being paid, will be factored into you debt-to-income calculation.

 

Go over your credit reports to see if there are any open collections or judgments or anything else that needs to be addressed prior to applying.

 

 

Frequent Contributor
SSH0126
Posts: 332
Registered: ‎02-22-2009
0

Re: Possible

We are looking @ 165k and income at 80k month total...No bills other than student loans which we will not know what the payment will be until we gradaute which will be in December this yr..Our student loan toals are approx 50 between my husband and I both..

Frequent Contributor
SSH0126
Posts: 332
Registered: ‎02-22-2009
0

Re: Possible

Any suggestions? I hope we qualify for that much

Moderator Emeritus
Lel
Posts: 5,267
Registered: ‎03-18-2008
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Re: Possible

I assume you mean $80,000 a year, not $80,000 a month.

 

Do you know what the terms of the student loans are?  That is, over what period of time will they be paid?  If you have this and the interest rate, then you should be able to figure out what your monthly payments will be.

 

For a loan amount of $165,000 and a combined income of $80,000 a year, there shouldn't be any problem with the debt-to-income ratio from a housing standpoint.  Other factors play a role in the front-end DTI - insurance, property taxes, association fees - but even then you should come in well below the limits.

 

Lots of factors go into a mortgage approval.  You might want to sit down with a local loan officer to discuss your situation in detail.

Frequent Contributor
SSH0126
Posts: 332
Registered: ‎02-22-2009
0

Re: Possible

The student loans for example. Mine are about 32k with 6% inttrest if I am correct...I will be doing a 20yr payment plan. With plans to pay off early when possible. I tried to get on the fed website last night but it was down to get the accurate numbers. Thats what I think it is though...How can I figure out what my payment would be. I thought they went by your income...

Frequent Contributor
SSH0126
Posts: 332
Registered: ‎02-22-2009
0

Re: Possible

Yes I meant 80,000 per yr


Lel wrote:

I assume you mean $80,000 a year, not $80,000 a month.

 

Do you know what the terms of the student loans are?  That is, over what period of time will they be paid?  If you have this and the interest rate, then you should be able to figure out what your monthly payments will be.

 

For a loan amount of $165,000 and a combined income of $80,000 a year, there shouldn't be any problem with the debt-to-income ratio from a housing standpoint.  Other factors play a role in the front-end DTI - insurance, property taxes, association fees - but even then you should come in well below the limits.

 

Lots of factors go into a mortgage approval.  You might want to sit down with a local loan officer to discuss your situation in detail.


 

Moderator Emeritus
Lel
Posts: 5,267
Registered: ‎03-18-2008
0

Re: Possible

 


SSH0126 wrote:

No lates in 2.5 yrs

 

No bills other than student loans

 


 

These statements seem to be at odds with what you have written here:

 

http://ficoforums.myfico.com/t5/Auto-Loans/auto-loan-early-pay-off/m-p/826428/highlight/true#M13819

 

 

You have 3 late payments in the last 11 months.  This is not going to sit well with the underwriter.  Be aware that paying off your car loan doesn't make it - or its payment history - disappear from your credit reports.

 

And as long as you have an open auto loan, the payment amount will be factored into your overall debt calculations.


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