Hi, I am trying to get all the information I can on No Doc and No Income Qualifing home loans. Here is the situation.. We paid $15,000 to the owner of this house 2 years ago $150,000 left on loan. The house is in the owners name and we are trying to improve our credit to qualify for the house ourselves. My husband owns his own business and I am a stay at home mom. What kind of credit rating do we need for a NIQ or No Doc loan? Mine is between 560 and 600 equifax being my lowest at 563 , hubby is within the same range. Thanx in advance!
Hi- Will the home owner document your payment record? Also, do you have reciepts or checks that show you made all your payments on time? I know those two things will help! A lot of Mortgage lenders look closely at the last 2-3 years of credit, so if your problems are old, you may be ok. FYI- I received my first mortgage just 1 yr post BK. I paid a little higher rate, BUT, in just three years I refied to a prime mtg (I am in the 4%'s now). that higher rate was a GREAT tax write-off in the meantime as well, which, being self employed, your husband should love. Hope this helps! Shawn
Hi thanx for your response! Yes, we have all of the receipts for the last 2 years we are currently paying 8.75% $1660 a month. The owner signed a 10 year lease with us but would like this house off of his credit asap, and for us a lower percentage rate would lower our monthly payment. I know our scores are bad, this time last year they were alot worse....The things you do when you are young I have old 2 old charge-offs and an old student loan which I have to work on. I am trying to get a ball park figure score wise any input would be appreciated!
How much is the home worth today? Stated income loans are available, but with those credit scores there are serious loan to value limitations and pretty hefty rates. You can also look into programs that use alternative income, such as bank statements or tax returns.
First of all thank you all for your responses! appraised 170,000 in 2001 estimated value in 2003 190,000. Do you think we need to be around 600-700? Our scores will raise (how much I don't know) because there are a few derogs that HAVE to be taken care of before we even talk to a mortgage broker. Hubby has a judgement and from what i've read, there are no exeptions, it must be paid. Thanx again..
smilin What type of business is your DH in? I saw in a later post that you are in FL. There are lenders here that will allow you to use bank statements to verify income and treat the loan as full-doc. That will give you a lower rate than either no-doc or no income. Your scores are fine for the type of mortgage I mentioned. Hope that helps you. fla-tan
janama There are several lenders that will give you a morgage 1 yr post bk. There are also a few lenders that will give you a mortgage 1 day post bk. fla-tan
Okay, just so I understand, you're buying this home on a lease-purchase agreement from someone who has his own mortgage on the property, and your goal is to lower your rate, and help the seller out by getting his mortgage paid and off his credit report? Hehe, just about a month ago, Fla-tan bashed me for saying that deals like this can be done. He actually said I should leave the board because I gave inaccurate information. I'm sure Disputer would be interested in this thread. But I digress. You can refinance this home, but with your FICO scores as they are now, it would be a sub-prime loan. You really want to get your scores firmly into the 600's before you do this. You live in Florida? I know a guy who started his own mortgage company in Florida last year. I think he's near Tampa.
Yes, we have a 10 year lease with option to buy, kind of unusual i've heard.. We have to purchase w/in 10 yrs. or we loose our downpayment of $15,000. The problem arises here..Owners escrow went up alot, therefore our payment went from $1400 to $1600/mnth.! (in 2 years) fla-tan Thank you for your info. It will be very helpful! Just one question.. Do you have to show statements for the last 2 years? What other paperwork will we need? oh, btw hubby owns painting company. Thanx again
Re: Re: Home Loan Help!!! Mycroft I would suggest that you go back and read the threads that I pointed out to you again. I never said anything against lease-purchase programs. They are a way for people with credit problems to get into homes. Most sub-prime lenders will do a lease-purchase as a refi instead of as a straight purchase. As a matter of fact, I have closed 2 this month and will be closing one next month. If you continue to give inaccurate information, I will still suggest that you leave. Intentionally giving incorrect information is a type of trolling. fla-tan
Re: Re: Home Loan Help!!! smilin I agree that 10 years is unusual for a lease-purchase. Do you know what portion of your payment goes to his mortgage and what portion goes to cover his escrow? Also, what is the price as shown on the purchase agreement and what do you estimate the value to be now? Another question is what is DH's middle score, that is the critical one. There are several other questions that I would like to ask you, but a public forum is not the proper venue. If you want, email me and I can go into further detail with you and try to help direct you in the way to go. fla-tan
Re: Re: Home Loan Help!!! just so you know, fla-tan is the man... he is helping diva with her refi ( just finished) and purchase ( new construction).
Re: Re: Re: Home Loan Help!!! When I said Disputer could buy his friends property and sell it back to her on a lease-purchase agreement, you said that that was likely to invoke the due on sale clause of his mortgage contract. In that case, it was you who gave inaccurate information. You are still welcome to dispute any information I give that you think is inaccurate. I will answer your criticisms in the future, just as I have in the past. So far you have not been very good at finding examples of my "inaccurate information" intentional or otherwise. I will not leave. I was going to point out that soliciting business in this way is a violation of the Terms of Service, but then I checked and apparently it's not. Or if it is, I wasn't able to find the reference. Hey, if it's allowed and it works for you, Rock On. Everybody needs to make a living. I personally depend on Realtors, word of mouth, and a small amount of advertising, but everyone needs their own niche. Then it occurred to me that maybe that was part of the reason you and I don't seem to get along. That you see me as a rival for this niche. If that's the case, let me put that to rest. I have not, do not, and will not ever solicit business on this board. I have several reasons for that, they are as follows: First, I think it's important that people have an unbiased source of information. There are lot's of places people can go to get information on credit and mortgages, but they are all put out by people in the industry trying to get more business. Sure, I tell my customers pretty much the same things as I tell those who are not my customers, but in the absence of personal contact, the person who knows I will not try to make money off of them knows I have no reason to put any spin on what I say. Second, this is a hobby. I've been doing message boards of one kind or another since the mid 80's. It's fun, it's relaxing, I learn stuff. The moment I add business to the mix, then it stops being fun and becomes work. Third, when I first got into mortgages, I tried soliciting business on Internet message boards. It was a mistake. I closed a few deals, but they were all really tough deals made harder by being far away from my normal business area, and they took huge amounts of my time for very little commission. People with easy loans don't contact mortgage lenders on Internet message boards, they just go to their local bank. So relax. We're not in competition here.
Re: Re: Re: Re: Home Loan Help!!! If that is what you were saying, then I probably misinterpreted what you were saying. Gee it makes my heart all warm and fuzzy knowing that I have your permission. I hate to burst your bubble again, but I don't solicite business here. The offer to contact me offboard is simply one to allow the poster to get as detailed as necessary without doing so in a public forum and knowing that the information that they provide is and will remain private. I have made this offer to many many posters in virtually every state in the country and I am only licensed in about half of them. The offer to contact me off board is and has been a standing offer open to anyone in any forum I partake in. While you may view this as a hobby, and there is nothing wrong with that, I come to this and other forums to help those that I can. There are many here that have emailed me to thank me for the assistance that I have provided them and to let me know that because of the information that I have provided them with, they were in a better position to work with the mortgage person that they worked with. This is a statement that I can agree with wholeheartedly. I'm glad that you have a hobby and I can understand how interacting on a message board can be a hobby for some. This is one of the reason I suggest that some posters contact me offboard is so that I can assist them to get into this position if that is their desire. Don't lose any sleep of this, I couldn't agree more. fla-tan
