I have bad credit but about $40,000 to put down on a house, anyone know a lender to help?

Answer 1

Be smart and take some of that money to repair your credit. It can save you up to $200,000 over the life of a 30 year loan. Do you want to pay $200,000 more than you have to??? Ask yourself that because its a very serious question.

Please learn how to repair your credit before applying for a mortgage. Don't pay the subprime "stupid tax", man. You don't have to.

It should only take 90 days to repair your credit.

Answer 2

Don't lose hope if you're looking to buy a home. There are so many different ways to fund a home now, just about anyone with any kind of credit can get into a home, regardless of credit situation.

Of course, some will cost you more money in the long run, but a home it's still one of the best investments that you can make, so, in many cases, it's worth it, especially for the first year of ownership.

You should shop around, and ask different lenders what kind of programs they have, and if they can help. Try to find a lender that specializes in bad credit mortgages. You can find some bad credit mortgage lenders listed on this page on and off:

http://www.axalda.info/bad-credit-mortgage.html

Answer 3

"Bad credit" is often in the eye of the beholder.

You might have an old late payment from 6 years ago, and believe it's the end of the world.

Me, I have two paid collections, and an unpaid collection that I'm paying on and my median FICO score is 650 and climbing.

$40K down payment might mean something or nothing. If the purchase price of the home is $200K, that $40K is very significant. If the purchase price of the home is $800K, it might help a little but you'd probably be better served sticking that $40K into an emergency fund and going with 100 percent financing.

Don't be discouraged by others whose financial advice is limited by the headlines they read. Yes, subprime lenders have been tanking, but foreclosures have been on the rise, home prices have been falling, and those factors tend to create a buyers market.

Answer 4

Speaking as a nationally known credit score and mortgage lending expert (book, radio shows, newspaper column, etc.)...

It could depend on the MORTGAGE credit scores (not what you get on the internet), and perhaps how easily those scores can be raised. I've helped people easily raise scores as much as 170 points in 6 weeks without deleting negative items. Other people it takes six months to get that much increase and they have to really work at it.

It depends on what percentage of the purchase price $40K is.

It depends on what your credit has been like over the past 12 months, even if your scores are awfull, as there is mortgage lending that does not use credit scores at all, just the past 12 months of credit with EXCELLENT rates...so ignore those telling you to spend your $40k on your bad debt.

Paying off bad debt usuallu makes credit scores worse, not better. That is the credit score answer. The ethical, responsible answer is that one should pay what one owes. There are at least those two considerations to think about.

Mortgage lending is VERY complex, and it isn't only about scores.

One isn't supposed to advertise in Yahoo answers. But I'll take a chance and suggest this number: (866) Dave Peters

Answer 5

Probably not. Have you been watching the news or reading the paper? Sub-prime loans are going to be very very difficult to come by.

Instead, take some time to clean up your credit by getting your debts paid off and make some timely payments. If you get a loan with bad credit it will end up costing you a fortune in fees and interest. Just keep renting and saving up that money while your credit heals.

Answer 6

Let me get this straight...

You have bad credit.
You want to borrow money for the down payment on a mortgage.

(How are you going to afford the payments + insurance + maintenance?)

Not a good idea. Most mortgage companies want to see that down in CASH, not from loan proceeds.

Save your money, clean up your credit, THEN consider a house.

Answer 7

There are hundreds if not thousands of websites on the internet enumerating the ways to apply and receive home loan when you are plagued with bad credit issues. These sites help consumers with bad credit scores to increase the viability of their existing credit scores and set up loans regardless of their credit history.Companies that specialize in bad credit home loans; usually offer a wide range of options for consumers with bad creditBad credit hasn't stopped them from purchasing a home. There are several programs available for people with bad credit that helps to restore their credit status and to live debt free lives.

Answer 8

Hello friend good luck on your Loan search...
Beware of Advance fee Loan scams.
LOAN SCAM - Do Not Pay UpFront Fees.
Do not send money UpFront via Western Union or MoneyGram to any person or business in the UK, Nigeria or Canada in hopes of getting a loan. If you do you will learn a hard lesson & never see any Loan money.

Answer 9

You should be able to buy a house. However, with the way sub-prime loans are going these days, you'll have to come up with 25% down payment probably. So you'll be limited to how much you can spend.

Find a mortgage broker in your area, they should be able to help.

Answer 10

What's the purchase price of the house? What's your score? How much money do you make? Is it provable income? Are you a home owner now? If not, how well do you pay your rent? How old are you?

Depending on the answers to these questions and a few more I can give you an answer.