LIHP says we can't get a mortgage

this is my first time on this site, i am a member of liwed.. i am getting married this sept. & we are looking to buy a condo before we get married. we met with mortgage counselr at LIHP the counselor last week & said we should wait 6 months before trying to get a mortgage b/c of fiancees credit.... i am in the high 7's and he was in low 6's i dont understand how his is so horrible when scores can go down into the 3's...
we both work & have a good paying jobs so i dont understand why she would say that. i was so upset...
does anyone know if his credit score going to really not allow us to get a mortgage or at least a decent rate mortgage?
i appreciate any replies.

Re: LIHP says we can't get a mortgage

we were both in the mid to higher 6's and got one no problem

Re: LIHP says we can't get a mortgage

I am in the high 7's and DH is around high 6's and we got a mortgage no problem.

Re: LIHP says we can't get a mortgage

thoses score are not bad at all. I would try a bank or another mortgage company

Good Luck!!

Re: LIHP says we can't get a mortgage

it really doesnt matter what the score was, it matters why its so low. ive seen FICO's of 680 and 720, and you almost cant tell the difference between the credit reports.

did he have any delinquencies? slow payment history? ever declare bankrupcty?

your score is ususally made up like this:

35% is payment history
30%for the amount of money you owe and your available credit.
15% the length of your credit history.
10% on the overall mix of your credit.
10% for how many inquiries you have.

eta: with the subprime market being scrutinized lately, someone with a fico in the low 600s may not be able to get credit. do you make more money? Because you would be the borrower (your FH would be the co-borrower) and banks would look at your score more bc you bring in more income, therefore paying more of the mortgage.

Message edited 3/25/2007 7:35:50 PM.

Re: LIHP says we can't get a mortgage

There is no reason you can't get a mortgage if those are your credit scores. DH's credit score was in the 600's as well and we got a mortgage. I see it only being a problem if it is low b/c of bankruptcy.

Re: LIHP says we can't get a mortgage

could you get the loan with out your husband- and just put him on the deed?

do you have a down payment?

FM me if you want- my DH is a mortgage banker and I am sure he can help you guys- I can give you his info

he specializes in difficult situations

good luck
Beth

Re: LIHP says we can't get a mortgage

You probably can get a mortgage, but maybe she was concerned that you would get a higher interest rate because your FH's score is lower.

Re: LIHP says we can't get a mortgage

You should defintely be able to get a mortgage. DH works for Wamu and when I read him your post, he said "why would they tell them they can't get a mortgage?" Feel free to FM me if you want to speak with one of their mortgage specialists.

Re: LIHP says we can't get a mortgage

Maybe he's thinking in your best interest and that you might get a better rate. Maybe it's not that you can't get a mortgage but rather that you should wait to potentially be able to get a better rate.

Not that I agree with that because you could totally get a good rate and a mortgage.

Re: LIHP says we can't get a mortgage

Re: LIHP says we can't get a mortgage

Your scores don't sound that bad to me. Was it just your scores or other things like debt to asset ratio. If you don't have enough cash that can be an issue.

Re: LIHP says we can't get a mortgage

I don't think we have enough information. Are you planning on putting money down? If so, how much? If not, were you planning on financing closing costs?

With the fiasco in the subprime market, lending guidelines are becoming much stricter.

Re: LIHP says we can't get a mortgage

its hard in this day in age to get money espically if you had some bad steps along the way...but now that you guys are doing great, its like your being penalized for the past which isnt fair.

just hang in there...just make sure you read everything carefully when you talk to people cause since your not the banks "ideal" client, they may push you off to another bank and they will put hidden fees, unusal % rate on mortage, etc...

Re: LIHP says we can't get a mortgage

i really appreciate the feedback......we have 15-20 k to put down & we both make good money at our jobs. i spoke to someone at commerce today & he said i can get one in just my name but will only get $180-200k b.c i have a car loan & school loan i pay monthly so could only afford that much monthly. the officer said it was late payments that is making it look so bad. he has been on track with his payments for months now but i guess thats why.....but they told me again today we cannot get one under both of our names......its not like he missed mortgage payments or something or is in a lot of debt.....so frustrating....at least i know i can get it alone in case that we end up having to do but we would have to look for something cheap...& theres not much

Re: LIHP says we can't get a mortgage

Re: LIHP says we can't get a mortgage

he told me you cannot get it in his name also he has too many latenesses & to take his name off of anything....everyone acts like its sooo horrible 3 lateness a few months ago & 3,000 debt is nothing. thats all he pays a month no other bills, no car or school, no rent.....
maybe the loan officer was looking out for my best interest. i dont know. i think i am going to try someone else tomorow to see what they say. my brother got the sonyma so maybe if its just me i will get apporoved.

Re: LIHP says we can't get a mortgage

Message edited 3/26/2007 9:31:30 PM.

Re: LIHP says we can't get a mortgage

Your debt to income ratio also matters. How much is your total debt, for the both of you? Including all credit cards, all school loans, car loans?

Also, how did you know what your credit scores were? I didn't think LIHP ran credit reports. Having good credit is something that is so hard to accomplish, and so easy to ruin.

There are so many factors, which they should have gone over with you, that will determine if you'll get approved. It's not just the credit, it's the percentage of your total salaries that will go toward the mortgage, your current total debt owed, your money down, the percentage rate you can expect...

I hope you find something! In the meantime, your FI should be working hard on improving his credit. It's one of the best things you could do for yourseves, with a house and everything else financial.

Good luck with all of it.

Re: LIHP says we can't get a mortgage

Re: LIHP says we can't get a mortgage

we really dont have much debt all he has his $265 card payment and car insurance and all i have is school 225 & car 237, insurance...so we are not in debt at all....i dont know why she said we couldnt get anything, she said she had seen many people in his feet & they were denied....i guess that is why

but anyway......i did get a pre-approval letter today for $250k under both of us from my brothers friend who is a mortgage broker i didnt really give much background to my situation & just gave him our info & he ran everyhthing & he said his isn't that good but since mine is so high it is def. doable.
i dont know if the brokers tell everyone this, but i was happy to hear. so at least we have something to work with.

oh--lihp did run our credit reports for us for free...& gave us a copy.