About Joe Montgomery Expertise I can answer most any question in this area, unless they are seeking legal advice.
Experience I have worked in the lending industry for over 15 years, and worked in consumer lending, (Personal loans, and small collateral loans) as well as mortgage lending during the first 6 years of my career
Publications Currently an all experts expert for mortgage loans.
Question QUESTION: Hello. I have an equifax score of 576. On the CR I do have some accounts that were settled for less amount than owed, and a few accounts that show there were late payments(no more than 60 days). I have 3 personal loans that have been paid off that were in good standing. 1 credit card account closed by me that was in good standing. I currently have 1 credit card, 1 department store card, 1 house loan and 1 car loan that are all in good standing. I haven't had any late payments for about a year, my credit card is has a balance of about 50% of the credit limit, my department store card has a balance of about 2% of my credit limit. I don't have any money saved up. I make 44,000 a year. I am wondering if it will be difficult for me to get a first time homebuyer loan for 0% down and if you know of any lenders that may be able help me. thank you.
ANSWER: Hi Jason,
The first issue I see with your information is that you say you have a home loan, but you want to try and qualify for a First Time Home Buyer loan. That probably won't work. There are a lot of 100% financing options out there, and several will even allow for gifts toward closing costs. Due to the recent increase in foreclosure rates most lenders are trying to get buyers to at least pay the closing costs, and based on your credit score it sounds as though you may not qualify for a 100% loan. If you have any military experience, you may be able to qualify for a VA loan which will allow for a gift to cover all expenses. If not, I recommend you talk to a Real Estate agent and see if they have any lenders they work with that specialize in 0% down payment loans. A lot of them do, but it will take a little more work.
Good luck!
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QUESTION: Hi. I don't have an actual "home loan" per se, I have a loan for a mobile home and was told I should be able to still do the first time home buyer loan. I was wondering: I should be able to come up with the money for closing costs and was wondering what you think my chances would be? And if not 100% financing what about one with 3-7% down? DO you know of any lenders?
Answer Most government loans are made for just this type of situation. An FHA loan is a good example-- in some cases you can even get financed to 103% provided you pay 1-2% pf the closing costs. Any nationwide mortgage company such as Countrywide, or Aegis mortgage should be able to help, and if you want to work with a local brokerage, just find one that is approved to provide government loans and you should be fine.
Hope you get what you need, and everything works out!
