trying to get a mortgage

Discussion in 'Credit Talk' started by Shelby, Mar 23, 2001.

  1. Shelby

    Shelby Well-Known Member

    I was wondering if anyone knows of any good mortgage companies that work with people with bad credit. I have applied with two brokers who do "creative financing" and all they have been able to approve me for is a loan with a seller carryback which is ok but they haven't been able to find any houses where the seller will carry back that are decent. I am not looking for my dream house ....just something to get me out of renting but at least liveable! Also these loans are at 11 - 11.5%!! I know that I will have to pay higher interest because of my credit but this seems excessive (especially requiring a seller carry back) I might be willing to pay this kind of interest if it did not require a seller carryback because then I could buy anything I wanted. I plan on doing some credit repair and refinancing in 2-3 years anyway. So if anyone knows of any other mortgage options out there I would appreciate the info. BTW my credit score is 520...VERY low, I know. If I am unsuccessful in finding any bett other mortgage options then I guess I will just have to stay where I am and work on my credit using all the great info. on this board. I plan on joining Junum. Anyone have any idea how long it might take me to get my credit scores up enough to qualify for a better mortgage? Thanks for your help.
  2. lucy

    lucy Well-Known Member


    This is my mortgage company. I also got my house through creative financing, in December of 1998. My interest rate is 10.4%, and the seller holds a second mortgage at 11.5% (balloon payment for 5 years). The seller paid all my closing costs and downpayment. It didn't cost me a cent to move into my new home. Also, Provident Bank is VERY easy to deal with, if you get behind due to loss of a job for instance, they will move a payment to the end of your mortgage. I find them to be the nicest people, customer service is great! And the collectors are even very helpful. Just my two cents... Lucy

    Here is the link:
  3. MikeB

    MikeB Banned

    Have you looked at FHA loans? All they require is 2 years of good history. A few lates are fine, but any chargeoffs must be paid and no Federal student loan deliquencies. Someone on this board mentioned that they look at FICO scores as well, but my mortgage broker told me a 500 was not a problem. You will get a much better interest rate (8.5% or less). Good luck.

  4. lucy

    lucy Well-Known Member


    Yes, but I cannot afford to pay all the credit cards that are charged off, I have several that will drop off next year, then I will refinance. In the meantime, I think Provident Bank is great. They've always helped me through tough financial times, no matter how far behind you are, the rep tells me as long as you pay one payment a month you are fine. My mortgage company from 12 years ago wasn't nearly as understanding. If you didn't pay last months payment, it was ALL or nothing. I ended up losing my house to a loan shark because my ex lost his job, that was in 1990, I believe. At least the loan shark made the payments and it was never reported as a negative on my credit report.
  5. Shelby

    Shelby Well-Known Member

    Thanks Lucy for the info. How hard was it for you to find a seller willing to carry back? Did you have lots of choices? We have only found one or two houses where the seller was willing to do that and they were dumps!

  6. lucy

    lucy Well-Known Member


    It took us a few months. We were shown ALOT of dumps (in terrible neighborhoods) before we found an acceptable house in a nice neighborhood. Keep trying. It takes time.
  7. mill

    mill Guest

    How bad is your score ?
    how bad is ur credit since ast 2 yr ?

    My score is 589 and I able to find lender who approve me @ 7.12 fixed 10yr . what he did is get 10% equity line and I put 10% down which put my down payment to 20% that mean I WILL BE SAVING pmi plus tax benefit from equity .

    Here what u can do go to your bank , spoke directly to branch manager expalin him why your credit went bad I'm pretty sure he should be able to help you out.

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