Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Mortgage
Profile Image

Question By
jimbo06

5 Contributions
1 Person Helped
bad credit mortgage
Hi I have a good income but my three credit scores are 570 589 667. My lease is about to be up in my apartment. I want to know if theres any way I can get a mortgage with these kind of scores

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Results 1-4 of 4Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
Top Contributor
740 Contributions
796 People Helped
Most Helpful Response

Helpful to 3 out of 3 people

multiple your income ie:40k by 3 thats how much house you can afford (120k) with your score...(rule of thumb is x4 if your above 620 across the board and you are not so x3 for you) your debt to income ratio shouldn't be above 30% (since your score is weak) so if you bring home $3,300/month your bills shouldn't add up to more then $1,100 (this includes cable,electricity,water,phone, car, insurance, groccerys, cell phone....everything) and on top of that I recommend you save as much money towards a downpayment as you can with your scores i'd STRONGLY recommend 20% ie: 120k thats 24k (10% at the lowest) its shows your serious and you need all the help you can get....its possible but very hard for someone with your score but the more money you make and the smaller house you buy the better off your chances....if you made say 75K and went for a 150k house with 20% debt to income ratio($1250/month in bills) you'd be approved regardless your credit score because you have a lousy  score your going to have to work 3x as hard 

Reply by
jimbo06

5 Contributions
1 Person Helped

Well im only looking to buy a townhouse. The ones i was looking at were no more then 130k. I make about 100k a year. I can put down 10% no problem i just cant find a lender that will give me a loan. I really dont want to keep running my credit all over the place

Top Contributor
740 Contributions
796 People Helped

Helpful to 2 out of 2 people

does the lender know your willing to put down 10%.....if he doesn't that will influence the decision and it will be a NO (if not aware) BUT honestly 20% is the magic number (thats just how it is...it seems to open doors that otherwise would remain closed....MONEY TALKS)  

Reply by
jimbo06

5 Contributions
1 Person Helped

thanks i will give it a try

Top Contributor
3051 Contributions
2791 People Helped

Helpful to 1 out of 1 people

Yes.  Visit www.naca.com.  This is a non-profit, legit agency that helps middle-low income folks get homes with 4% interest, no down payment, no closing costs and credit scores don't matter.  I have 2 folks in this office doing just that.  Check it out!

5 Contributions
1 Person Helped

does anyone know a legit lender?

Results 1-4 of 4Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.