Hi guys, I live in Chicago and I am looking for a house. A little background my bk7 discharge in 4/2003. I now have 2 cap one 300 limit and 1 orchard 300 limit and a car I've been paying on for little of a year. My mortgage broker has offered a 80/20 loan with the 80 at 6% and the 20 at 7% my out of pocket cost would be $1500. What do you guys think. Thanks in Advance Oh my credit score exp 650 exq 640 tran 620
Those are remarkable scores for one year after discharge. I'm very surprised you can get an 80/20 loan one year post BK. I was two years post BK w/middle score of 700 and I could not secure that 2nd loan - and mine was for 15%, I was putting 5% down! If it's real, I'd say jump on it. I'm assuming those are fixed rates. If they're ARM rates, make sure you've got five years fixed.
I'm a Mortgage Broker (a new one abet) and I'd like to know what company they are using. The rates are great... if true. Not a lot of lenders do 100%CLTV loans 12 mos out of BK. Your open trade lines help it, but I have a hard time finding a much better deal than that for someone with great credit... Kent
Thank you guys that what I needed to hear because we are at the beginning stages of the loan and this is what he telling me. Maybe I will shop around because I would hate to be disappointed. I expected the 80 to be at about 7% and the 20 at a much higher interest. But again all he has done is run my credit the mortgage company has not given a definite. But he did say I could refinance after 2years. And the score are like that thanks to you guys. I started with my transunion at 375, I've come a long way.
We got an 80/20 mortgage one year after BK but the rates were 7.5% and 13% respectively. Our mid scores were just under 620. We can't refi until the three year mark. I say JUMP ON IT if its the real deal. Good Luck
So maybe when the actual mortgage goes through I should expect that 2nd mortgage to be higher but overall it still sound like a good deal. Thanks broncsboi, I thought maybe he was pulling my strings. Even if it's the 2nd mortgage is 13% it's still cheaper than what I'm paying for rent lol.
i have an 80 at 7.95 and a 20 at 8.95, refi option after 2yrs, and I was 2 yrs, 1mo post BK7 when I closed on the mortgage. I like your deal better! lol Go for it!
