I have built up quite a bit of equity in my home,yet I am unable to re-finance because my credit history over the past year is poor.A lot of lenders will not look at me as I am below 600.
Any suggestions?
2007-10-22 09:57:38 · 4 answers · asked by Anonymous in Business & Finance ➔ Credit
Sell the house?
2007-10-22 10:03:44 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You may be eligible for an Alt-A or subprime loan. Alt-A is for people with some credit issues, and subprime is for people with big credit issues. Below 600 is a pretty vague score. 598 is one thing, but 528 is a whole lot different. You can get a loan with a score under 600, but you'll pay a higher rate to compensate for the additional risk to the lender.
WAMU used to do Alt-A, and a lot of lenders do subprime. Do a search for subprime lenders, but I'd stay away from all the but the most reputable of banks for either of these loans.
2007-10-23 10:33:13 · answer #2 · answered by Debdeb 7 · 0⤊ 0⤋
Cathy is correct. The easiest way is to sell but then you may have a tough time financing another home. If your score is above 520 (mid score) you could probably get a loan if you haven't had many 30 day lates but in today's subprime market, it won't be cheap. Call a local FHA mortgage broker. They can do most any type mortgage. I've done many FHA loans (much better rates) in the 500-600 score but generally no mortgage lates allowed. Good luck.
2007-10-22 17:13:56 · answer #3 · answered by Rono 2 · 0⤊ 0⤋
Sell the house. Use some of the money to pay off the mortgage (if there is one) and some to buy a new (less expensive) house (without a mortgage), and keep the rest.
2007-10-22 17:04:52 · answer #4 · answered by StephenWeinstein 7 · 0⤊ 0⤋