10-05-2012 03:46 PM
My situation is pretty shaky. I've been renting the last 8 or so years, at this house for 4. My landlord recently decided they want to sell the house, and have been pretty sneaky about it. They want us to buy it, but no way, not with the cost to repair everything, but that is another story.
So I've been looking at rentals, and they are getting more and more expensive. My husband and I really want to buy our own home, its been a dream of ours for such a long time. He was in a car accident that put those dreams on hold, and we just never thought it would be possible for us until with spoke with a loan officer. She told me its not as bad as I thought. We don't have bad credit, we just don't have credit. I can use alternative means of showing I'd be able and willing to repay a home loan.
So our income qualifies. My DTI ration is below the requirement.
I've got no debt, no credit cards (obviously), car is paid for, no medical bills. Nothing, other than my rent, utilities, phone, insurance and cable.
The only thing on either of our credit history is the last of the medical bills paid off in 2006, they will come off my husbands report in March of next year.
All of my bills are pristine, I pay on time every month. With the exception of the utility bill where I had to make one payment arrangement and accidentally paid them too much money and now I have a really cheap bill this month. However it was not late, it was taken care of as agreed.
My husband has been working in the same industry for 10 years, same place for a year, and before that he worked at another place for a year and half. Otherwise it was one company for seven and half years. Again, same industry, just different company.
I'm just really nervous about this, I really don't want to rent anymore. I haven't seen a whole lot of info on people using alternative credit history.
So here is my question, is there anything that anyone can see that would get me denied seeing as how they're willing to use alternative means of credit?
10-05-2012 05:46 PM
I had to use my Electric Bill as an alternative line of Credit. It also depends what the middle score requirements are.
10-07-2012 10:03 AM
Spend the time speaking to a few lenders and or brokers in your area. Do not give them any personal information to start an application. Just be honest with them and tell them you are seeking information and what in there professional opinion do they feel is needed for approval.
If they do not have the time or feel like you are not worth there time (you can tell by responses and attitude) then you do not want to do business with them anyway especially purchasing a home. Do your homework and the process shouldnt be as hard as it seems.
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions based on Experian or Equifax data (additional FICO® Score versions based on TransUnion data are not currently available on myFICO.com). Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.