Will a bank do this?

[Anonymous]

We found a house that we fell in love with but this was before we realized how bad our score was.  We talked with the realtor today about possibly getting the seller to do a land contract and she said they have done it before and it doesn't hurt to try.  However, we need to sit down with the bank and get a statement from them that they will be able to finanace us at a certain point if/when we get our score up.

Obviously I can't talk with the bank until Monday so I'm kind of going crazy here as we had completely given up on that house.  Now I know it will probably be much more work getting the seller to go that route but even giving it a shot would make me happy.  So can/will the bank give that kind of statement?  I sent several PFD letters today as well as one GW letter about removing one 30 day late payment from an auto loan which I can show the bank.

[IOBA]

Can you put down a large down payment (to the owner of the house) as good faith?

I have never heard of a bank writing the letter you are asking for....no one has the crystal ball to know when/if your credit score reaches xxx that you will qualify for a mortgage.

I would suggest 

* opting out of your credit reports IMMEDIATELY.   A lot of CA's tend to come out of the wood work when you start doing mortgage inquires.  (The CB sell the information to them.)

* consider offering a rent to own proposal, with a decent down payment and a time line to make the purchase.

* consider offering a owner financed proposal, with a decent down payment a time line to make the purchase.

The seller may request a copy of your credit report and/or bank statements.   They are taking a risk by doing either of these proposals with you.

Let us know what you offer.  

[Anonymous]

Thank you.  The realtor is the one pushing we talk to the bank and I'm not sure why she is being so pushy about it.

As far as a down payment it wouldn't be huge, most arond here ask for $3000 down and we could do that but I'm not sure if it will be large enough.  

[MImommy5]

Hi!

My husband and I were just in a simular situation. We are working with a bank and our LO told us in april that  in approx. 6-9 months we will be able to be approved for a mortgage. Our lease is up at our apartment so our realtor looked into some homes that are for sale in the area we want to live in, that have a lease to own option.

We did like one of the homes and the bank said by Dec. 2011 we will be able to get a mortgage, so we put in an offer to put down 3.5%, rent for $1000 a month, then purchase the home in december.

We chose not to get this house because they counter offered for $1400 month rent, and we cant afford that. so we are just renting a different home now, until we find a house to buy.. luckily we found someone who doesnt want us to sign a lease, he knows we will move out when we find a house. He was selling his house, and it wasnt selling so hes letting us rent it.

HTH.