Mortgage Loans

[glendazamot]

I am trying to qualify for a USDA loan. Back in August I went to a broker and he advised me that he can get me a USDA loan with no down payment... Could that be true?

Also, At the time I did not qualify because of my credit EQ was 600 and TU 601. He was worried that I had too many derogatories and only my car loan as a the only acct in good standing, no lates. Since then I have paid some accounts and deleted others. This is what is currently showing on my credit report
Car loan opened in 2011 - no lates
Cc with capital one (250) opened in July of this year - no lates
Two Sallie mae paid loans- currently reporting 4 120 lates from 2006!
Two closed cc in good standing (walmart, 1st premier)
One charge off from Target from 2009
One settled account with Capital one in 2010
One paid utility collection from 2010
AU on my moms walmart CC opened in 2009 no lates but utl is 30%

My current scores are EQ 620 and TU 617, would I qualify? Also I have a credit advisor that told me to open a secured credit line at my bank, is this necessary? I appreciate your opinion.

[gbishere]

if your trying to buy a place within the next 6 motnhs. you don't want any new credit lines at all or hard inquiries.

usda is no down payment but i have heard from this forum that funding seems to be a little sketch right now. I thought about doing usda and just went with fha.

[glendazamot]

Forgot to add my income is about 50,000 a year (31,000 salary the rest is bonus).  Bonus has been constant for 2 years in Feb of next year,. Also I am looking for a 125,000 loan.

[JPersat]

I was told to open one in June, so I did...no problems. I only had one in my name.

[glendazamot]

Jpersat-Did you qualify for mortgage?

Can anybody else tell me if I would qualify for a mortgage Plz??

[germaine47]

I went with USDA Gaurantee.   The first thing that pops out at me is that I would need to know what is the Lender's Middle Score required, mines had to be 640 Fico.   I had to have three trade lines reporting with NO LATES in the past 12 months.  MB disqualified my Student loans because they only reported for 11 months so that left me with only two positve trade lines.  MB went with a non-traditional tradeline (electric bill) and it was such a pain in the keyster.  Please give yourself time to pull your scores up a little higher, I think this will help with interest rates and UW.  I paid NO DOWN PAYMENT FOR USDA GAURANTEE, Seller paid almost all my closing cost.  Hope this helps....

[JPersat]

We are in underwriting now.

[glendazamot]

Thank you germaine47 for the info. I am currently still working on removies some of my baddies and plan to apply in March for the mortgage loan, the broker that I am working with advised me that they can go as low as 600 but the problem is the trade lines, I only had my car loan. I have now opened a secured cc with cap1 but was told to open a secured credit line at my bank as well. We'll see. Hopefully I will be a homeowner by next summer. :/

Jpersat-are you going through USDA Gurantee as well? How many trade lines do you have?

Thank you guys for your info I really appreciate it !

[JPersat]

I had just one card in my name only. I am joint with my husband on two vehicles, and an authorized user  on a few others. And yes, USDA guaranteed.