topic Re: help . . . in General Credit Topics

help . . .

Anonymous — Thu, 21 Jun 2007 14:40:42 GMT

Does anyone know of any home mortgages for a score of 549??? We are in a real housing bind right now and cannot seem to find anywhere to go. Renting will require us to squeeze our family of five into an EXTREMELY small home . . . and put a large portion of our belongings into storage, for who knows how long. There are no decent homes for sale in this area, anyway, or they are out of our price range. The house we are living in (NEEDS A LOT OF WORK), has no basement, but the landlord said he would allow us to put the rent payments we have made for the past two years towards the purchase of the home. It is not our "dream home" by any means, has no basement and is on an extremely busy intersection, but does have a nice large corner lot. The furnace is 24 years old, carpet 25 years, windows 38 years old . . . so it does need somethings. Any ideas? WOuld you cram your family into a smaller home for another six months or so to bump up the score and broaden our options???

Re: help . . .

Anonymous — Thu, 21 Jun 2007 14:50:16 GMT

Well unless you have a LARGE amount of $ to put down this may be your only option.
Be sure to take the amount of $ in repairs in consideration if you decide to purchase.

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:19:39 GMT

Okay, but what lender will give me a loan at 549?

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:31:06 GMT

@Anonymous wrote:
Okay, but what lender will give me a loan at 549?

You really have to get some number together for us to try to point you in the right direction.

So- I will give a hypothetical

Let's say the Home is worth 150K and you have been been paying 1300 a month for the last 2 years.

So now you have 30K down - but it needs 10K in repairs right?
SPlit the repairs- with the seller so now you have 25K down

So a 125K loan at 8% is doable with 20% down with many lenders as their risk has been reduced- make sense?

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:37:20 GMT

Also if you can tough it out for a few more months of cramming together and are able to build up your credit score, you could potentially save thousands of dollars through the life of the mortgage if you can get a better interest rate.

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:37:28 GMT

GOT IT. Okay, paid $500 a month for rent last two years ($12,000), they are asking 90K for the house, needs at least 20K (rough, very rough) worth of repairs, so if they'd split the repairs, 10K then it would be 22K (depending on what % they will let us use, maybe all) of the downpayment. So what do you think?? It's a HUGE house, four bedrooms, family room, living room, eat-in kitchen . . . set ups a little weird, but a little work and it could be loveable . . . Does that give you what you need?

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:38:20 GMT

problem being is they want us out by the first unless are going to buy it . . .. (yes, that's July) I live in a rural community and rentals are EXTREMELY hard to come by!!!!!

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:41:22 GMT

put it in escrow and play the odds...may buy you soom time and another solution...IMHO

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:43:19 GMT

what do you mean by "putting it in escrow?"

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:45:53 GMT

in your state who handles the closing process of home purchases? Attn. , title co's, escrow co's.?

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:50:49 GMT

title companies

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:55:36 GMT

IMHO....I would write the agreement to purchase to close within 60days.....contingent on you qualifing for the new loan. and if you can ask the seller to help with the costs to close....you have to ask...then put it in the agreement...so its all in your final escrow instructions.

Re: help . . .

Anonymous — Thu, 21 Jun 2007 15:58:28 GMT

so I would contact the local title co to help me?? What about splitting the cost of repairs, etc.? That too, or is that asking too much?

Re: help . . .

Anonymous — Thu, 21 Jun 2007 16:02:52 GMT

yes you have to have that...thats your down payment....but I don't think you will have any luck with the title co. helping you draft your agreements...etc. Do you know anyone who knows a little about buying and selling real estate? This not hard....unless like anything eles...you have never done it before...

Re: help . . .

Anonymous — Thu, 21 Jun 2007 16:11:11 GMT

Where in the world do I start shopping for a loan???? There are so many on the internet . . . so many out there, how do you ever decide?

Re: help . . .

Anonymous — Thu, 21 Jun 2007 16:15:17 GMT

its seems to me that shopping for the loan...at this point may be putting the cart before the horse...IMO you need to buy yourself time and then you can work on the loan issue. or at the very least have more time to find a suitable place for you and your family.

Re: help . . .

Anonymous — Thu, 21 Jun 2007 16:34:48 GMT

Thanks for the info. It will be cramped quarters for a while, but I honestly believe with what I have leanred on this website, it will be very short-term. I appreciate it.

Re: help . . .

Anonymous — Thu, 21 Jun 2007 21:05:48 GMT

Miz,

If the seller has a lot of equity, and really wants to sell, you might find him to be very flexible. He might be willing to hold a big 2nd mortgage, which to a 1st mortgage holder is the same a a big down payment. With a big enough "down" you'd be able to get financing. You can do the note on the 2nd such that you will have time to repair your credit before having to pay it off. There's a ton of different ways you can go if he's flexible. There's probably some good brokers here on the board to give some advice. I think I'll start a topic...

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