judgments on credit report

[Anonymous]

 My husband and I are trying to buy a house and have found ourselves in a bit of a situation. Here is a little bit of background. Before I met my husband, he made a lot of bad money choices. He was laid off twice and had a hard time finding a job, so while he was looking, he totally destroyed his credit. Right now, he has two judgments on his credit. One of them is for $10,000 for breaking his lease. His landlord took him to court and H didn't show up, so he got the judgment for the ten grand. The second one is for about $2000 and that one is from a friend taking him to court over a car that he sold H. When we got married, I was aware of his bad credit, but not the full extent of it. Now that we are trying to buy a house, we are running into major roadblocks when trying to get a loan. My husband has had a steady, good paying job for about 4 years now and I have good credit and make pretty good money too. Right now, other than our car(and obviously the judgments), we don't have any debt. We are trying to apply for an FHA loan, and the first broker we met with was so positive that we would have no problem getting a loan, and now almost 2 months later, he still hasn't been able to get us approved. We have close to $10,000 saved up and chances are that we will have to use that money to pay off H's judgments.  Does anyone have any experience with "making a deal" on judgments? Do you think he'll be able to get away with offering less?  Has anyone ever gotten a loan with judgments on their credit?  Thanks!

[Anonymous]

daisy can you qualify for the mortgage by yourself? I don't know any mortgage co. that will finance with outstanding debt (judgments)

Some people have gotten them vacated by a PFD  BUT  I have no idea how much they were for who threy owed or how old they were.

I believe that some mortgage co. will include all amounts owed in the mortg. but not all.

Im going to move you to the mortgage thread.....maybe someone there can help.

[DallasLoanGuy]

talk to an attorny about the judgement.

in all liklihood, the landlord didnt suffer $10k in damages.... or a ticked off tenant has killed the scumbag by now.

maybe you can get it vacated.

[granny031350]

if the judgment states IIB (was paid in my chapter 13) does that work.  It comes off next april anyway and I just found out I won't be discharged until Jan/Feb anyway. So chances are it will not be on my credit report anyway but just curious

[Anonymous]

I do know that if you have a judgement regardless of the reason that remains unsatisfied you will not be able to get a mortgage or refinance your home. Is there enough equity in the home you are purchasing to add the judgement dollars in? They could then be satisfied at closing.

It might be hard making a deal, if the creditor finds out the reason you are looking to deal they can stand hard if there is any animosity. All the negotiation leverage is in their hands.   

Good luck to you.

[ShanetheMortgageMan]

---

oldschool wrote:

I do know that if you have a judgement regardless of the reason that remains unsatisfied you will not be able to get a mortgage or refinance your home. Is there enough equity in the home you are purchasing to add the judgement dollars in? They could then be satisfied at closing.

It might be hard making a deal, if the creditor finds out the reason you are looking to deal they can stand hard if there is any animosity. All the negotiation leverage is in their hands.   

Good luck to you.

---

Can't include other debt into a purchase money mortgage.