Timeline for new mortgage

[Anonymous]

I'm in the process of cleaning up my credit -- current score is 610 (up from 550). I've settled a couple of accounts, paid off a few... I have a total of 7 negatives...paid down my CC etc. I believe that in the next few months my score should get to 650. My current income is over 220k per year... my wife hovers around 90k. Her score is actually 780. With a home loan heavily weighted on the lowest score (mine) how long will the score need to be at 650 before we can get Pre-Approved? We plan on dumping close to 20% on the loan which will keep it under a Jumbo. Thoughts?

[boomhower]

It goes off the lowest middle score of the applicants.  As soon as your at a 640 middle you can go for FHA.  Some lenders will even go lower than that(Wells Fargo).  There is no "seasoning" of the credit score needed.  FHA is credit score blind, you either qualify or don't.  You don't get a lower rate for a better score.  The downside with FHA is you have to carry PMI for a certain period of time, even with the large downpayment.  With conventional financing you could avoid PMI with 20% but have a ways to go to qualify score wise.

[Anonymous]

Thanks for the reply Boom - can you be more specific in terms of "ways to go" ... thanks.

[Tooliebell]

What kind of accounts in good standing do you have reporting?  For me, the major bump up above 640 was a revolving account since I had none reporting open. I was approved for a capital one account and that jumped my score up quite a bit.  Keep making on time payments, limit your inquiries and if you need new credit give that a try.

A 640 mid score will usually get you a FHA loan.  In my experience, if you wanted to do conventional, a 680 score was needed.

Is your combined income 220K?  That will fair good for you depending on the price of your home.  WIsh I made that kind of money!   Would it be rude for me to ask what you do?