So here is my scenario, and I could use some insight from the more experienced folks on FICO.
My logical side tells me to wait till the end of the year before applying for a mortgage, while some prospective lenders have told me
that evenwith my scores they can get me a loan and into a house. My reason for waiting for my score to improve is so that I can get
a better deal on the loan, and the age of my accounts will increase especially the accounts that I opened in Sept. 2014 when I began
my credit rebuilding process when my score had tanked at 515.
My Fico Scores: TU 647, EX 658, EQ 632
Mortgage Scores: TU 587, EX 627, EQ 596
Cash:
I have $151K in various 403B/457K/401K accounts that I could viewed as part of my reserves
Cash in the bank: $18K
Current Housing Expense: $300-400 month - I contribute to food and pay for some utilities at my
current residence.
Debt to Income Ratio: Currently 8% - should drop by June considerably
One Student loan $10,700 that is in the process of being forgiven, so balance will be 0 by June 2015
Cap 1 balance is $3,300 - limit is $8,000 - this will be paid off by June 2015
Navy Fed balance $160 - limit is $2,000 - paid off in Apr. 2015
One installment loan for $1,000 that will be paid off Apr. 2015
Income: $73,000 by July 2015 the new fiscal year my income will be $75,500
I was thinking of going the FHA route and using some Chdap or ECTP programs or even Calpath.
What do you guys think. Ultimately, waiting would also allow me to increase the cash in the bank by dialing down
my contributions to my retirement accounts ($1,600 a month) and instead rerouting that money to my bank account
to increase the cash at hand.
@alienfico wrote:So here is my scenario, and I could use some insight from the more experienced folks on FICO.
My logical side tells me to wait till the end of the year before applying for a mortgage, while some prospective lenders have told me
that evenwith my scores they can get me a loan and into a house. My reason for waiting for my score to improve is so that I can get
a better deal on the loan, and the age of my accounts will increase especially the accounts that I opened in Sept. 2014 when I began
my credit rebuilding process when my score had tanked at 515.
My Fico Scores: TU 647, EX 658, EQ 632
Mortgage Scores: TU 587, EX 627, EQ 596
Cash:
I have $151K in various 403B/457K/401K accounts that I could viewed as part of my reserves
Cash in the bank: $18K
Current Housing Expense: $300-400 month - I contribute to food and pay for some utilities at my
current residence.
Debt to Income Ratio: Currently 8% - should drop by June considerably
One Student loan $10,700 that is in the process of being forgiven, so balance will be 0 by June 2015
Cap 1 balance is $3,300 - limit is $8,000 - this will be paid off by June 2015
Navy Fed balance $160 - limit is $2,000 - paid off in Apr. 2015
One installment loan for $1,000 that will be paid off Apr. 2015
Income: $73,000 by July 2015 the new fiscal year my income will be $75,500
I was thinking of going the FHA route and using some Chdap or ECTP programs or even Calpath.
What do you guys think. Ultimately, waiting would also allow me to increase the cash in the bank by dialing down
my contributions to my retirement accounts ($1,600 a month) and instead rerouting that money to my bank account
to increase the cash at hand.
I agree about waiting to get your mortgage scores up since your current mid-score is 596. Unless you are okay with putting down 10%. What is showing up on your reports that is holding your mortgage and FICO 08s down? Have you visited the rebuilding forum yet?
Thanks StartingOver10
While it is tempting to app now, that 596 is not as appealing as getting it would be to get it closer to 620. So I'm going to give myself 9 months,
and wait till January 2016. Pay all my bills before the statement cuts, and carry 10% or less UTIL on one.
You are right, about something is holding down my score....I have two baddies on my report are two charge-offs with Cap1 that I'm in the processof good
willing them to death, negotiating them to PIF and have Cap1 change the status. Coincidentally, they gave me two new unsecured credit cards, albeit
with low limits....but they were willing to extend me credit which is a plus. They also send me those very tempting "pre-approval-letters-take-it-to -the
dealership-and-sign-your-life-away for car loans...and while I could use a new car, I won't take the bait. 
I'm going to hold the
course for 9 months....and then app.
@alienfico wrote:I am aiming for a 640 on the mortgage side with hopefully a nice bump on non-morgtgage scores. I just wish I understood how the algorithm works.
...I'm betting there are a multitude of software engineers and analysts at FICO Inc that wish the same thing several times every day 
