We are closing on our house tomorrow. I am so excited. Especially since I thought we would be "stuck" with a very high apr because of husband's chap 7 from 2 years ago. Well, for all out there who have had BAD credit in the past, there is good news. We are closing with a 7.6% fixed (only 1 point over prime), and I negotiated our closing costs to $6500 on a $198000 mortgage. Anyone elso out there who will be buying a house in the near future, please read the "good faith estimate of closing costs". If you don't like something (i.e. redundant charges like broker fee, broker charge, processor fee... the list is endless) speak up! If they want your business they will negotiate these horrible fees. We started out at $9000 for closing costs. And I said, WHAT??? No to this line, no to that line, etc. Don't be sucked in just because you think your credit is not "good enough". Our scores even with the bk are in the mid-700's (mine) and mid 600's (husband). I think we got a pretty good deal, considering the bk. Thanks to all on the board who gave me hope and inspiration.
congrats!!!! we're in the beginning stage of house buying ('cause we have to decide on whether to build on our land our buy an existing house). The whole process is giving my the willies....
Sounds like things have worked out well for you. And once the mortgage starts reporting, that will help raise your scores if you keep it paid on time. Congratulations on the new home!
About how long did it take for the whole "clean-up" process? Did you still have any derog on your credit? Such as paid collections? Or was the BK the only derog? BTW, C O N G R A T U L A T I O N S ! ! ! ! ! ! ! ! ! ! ! !
Congratulations. Buying a home is always exciting. Of course, the first couple nights sleep is well...restless. For the first few weeks I found myself dusting and unpacking at 3 in the morning. Dani
