what is the lowest credit score to get a mortgage in illinois.. my score is 566 can i get a fha loan with this. And i am a first time home owner.
2007-08-28 04:36:29 · 8 answers · asked by confused 2 in Business & Finance ➔ Credit
Once again, it's not about score it's about your down payment and your ability to repay the loan.
If you have a good paying job, have been on that job for a long time and have a reasonable down payment then the risk to the lender is less.
And it has nothing to do with what State you live in, like one of the other posters said, "Its' not a State question, it's a lender question".
2007-08-28 05:13:15 · answer #1 · answered by ? 7 · 0⤊ 0⤋
Credit score is ONE part of the equation. Mortgage lenders will look at several things when they judge your credit risk on the loan.
Normally with a score that low you will have some trouble getting a mortgage, and if you do the rates will be so high would be better off renting for now.
BUT...if you are able to get a huge downpayment , and have very good income relative to your loan amount, you may find some lenders willing to work with you. Most lenders still consider down payment and income more important then credit score when it comes to a mortgage. Like for example i have a family member with awful credit but very high income. She was able to get a mortgage loan no problem.
2007-08-28 05:02:42 · answer #2 · answered by Anonymous · 0⤊ 0⤋
This is not a state issue, it's a lender issue. How low can the score be and still get a reasonable rate - you're already below it.
620 is the lowest of the non-subprime scores, the next tranch is at 660.
FHA is not score driven, but there are many other requirements. You are probably better off renting for now, and work on improving your score - pay everything off.
2007-08-28 04:43:31 · answer #3 · answered by Mountain Top 4 · 2⤊ 0⤋
People PLEASE stop giving WRONG information or at least finish reading the question. YES you may be eligible for an FHA loan because FHA is NOT FICO driven. But you will need to be able to fully document your income. You will be required to put down 3% of the downpayment and most likely pay for your own closing costs (which can be anywhere up to 5% of the loan amount). With that score you more then likely have lates, which will need to be explained, you will need to have perfect payment history for 12 months and be able to document anything for up to 24 months. If you have any accounts in collections and/or judgements those will need to be paid prior to closing. So be prepared, your score does not make you ineligable for FHA but other factors may.
2007-08-28 05:11:23 · answer #4 · answered by cristi.castillo 1 · 1⤊ 1⤋
you wont get anything with a score of 566, especially right now. the economy is soo bad right now, you could have a perfect credit score and still not qualify.
2007-08-28 04:44:40 · answer #5 · answered by superyduperymommy 5 · 1⤊ 0⤋
Once upon a time , you could get one with a score in the 600s
But now , most will require the 700s or pay an obscenely high % rate .
( which will make it totally Not affordable !)
AND you should have 20% down .
>
2007-08-28 04:44:07 · answer #6 · answered by kate 7 · 0⤊ 2⤋
I don't think you would qualify for a home loan anywhere with that credit score.
2007-08-28 04:43:08 · answer #7 · answered by sdfkjgs;ldgkjs;dkfjs;igjqakdsfhd 2 · 1⤊ 0⤋
No, you can not and do not let the idiots who will undoubtedly post in your thread tell you differently so they can get your personal info then tell you NO!
2007-08-28 04:51:36 · answer #8 · answered by Anonymous · 1⤊ 0⤋