the only possible co-signers are my fiance, who has bad credit, his sister-in-law, who has bad credit, or his brother, who has very little credit.
2007-11-27 11:25:46 · 21 answers · asked by Kristabella 2 in Business & Finance ➔ Renting & Real Estate
It is a matter of either getting a mortgage from a mortgage company or a bank. If your credit (and all the people you mentioned) is not good---you will be deemed a poor risk. When the bank or mortgage company loans money out (for a house) they want to make sure that the mortgage will be paid each and every month on time. In addition to the mortgage you will also need home owners insurance and in most states property tax.
My advise---see if there are homes available that have the option "rent--with option to buy".
Or better yet, spend the next couple of years working at improving your credit rating.
This is NOT to say you would definitely not get a mortgage, but the lower your credit score the higher the rate.
Right now it is real tempting to buy with the housing market down--
I know that I spent 5 years saving and getting a good credit rating, so by the time I bought my house it was quite easy.
2007-11-27 11:34:42 · answer #1 · answered by Anonymous · 1⤊ 0⤋
Sure you can. I'm going to assume that you have cured all your outstanding debt and your back on track to rebuilding your credit. If you still have tons of debt, you should look into paying off your debts first. Taking on another big debt isn't smart. So.... There are three ways to buy a house with bad credit. 1. You can buy a house using a Hard Money Lender. You'll have to come up with around 30-35% down payment and pay a high rate along with high fees, but they lend on the property, and your ability to re-pay the loan, not so much your credit. You will need to be able to refinance the property anywhere from 12-36 months, so that's why you need to start re-building your credit now. 2. There are still a couple sub-prime lenders out there and you will need to put 20-30% down and show an ability to re-pay the loan. 3. Probably the cheapest way to get into a home is to do a lease purchase or lease option. You can pay an upfront option fee of around 5% and do a lease term of 36 months. You fix your credit and at the end of the 36 months you exercise the purchase/option by refinancing the property and paying off the owner. Those are your options, oversimplified of course, but you can do it. Good Luck
2016-05-26 04:04:31 · answer #2 · answered by lara 3 · 0⤊ 0⤋
I had bad credit and got my house with NO co-signer. I would not a cosigner on my house anyway. Naturally I had to have a higher interest rate because of the credit rating but ANYTHING is still possible with bad credit but you will pay more.
2007-11-27 11:29:51 · answer #3 · answered by Mean Carleen 7 · 0⤊ 0⤋
Maybe, if you're willing to pay twice as much every month as you would if you kept renting for a few years and cleaned up your credit. Mortgage payments (for most mortgages, there are a few exceptions but you must be credit-worthy) are based upon your credit rating. Rent isn't, though it can affect your ability to get a lease sometimes.
Take some time to clean up your credit and save for a down payment. You'll be glad that you did because the payments will be affordable and you won't have to deal with the bottom-feeders in the B and C paper mortgage industry.
2007-11-27 11:50:15 · answer #4 · answered by Bostonian In MO 7 · 2⤊ 0⤋
It's possible but I would work on cleaning your credit up first. If you do get a loan, you'll have a higher interest rate. Start with the smallest debt and pay as much as you can, and work your way to the largest. Each time you pay something off add what you were paying on it to the next one. Getting your credit cleaned up should be #1.
2007-11-27 11:30:25 · answer #5 · answered by Butterfly heart 4 · 2⤊ 0⤋
Well, if you have a large down payment, some lending institution is bound to take a risk on you (with a high interest rate). Or, maybe you could get lucky enough to find a house on a land contract. Other than that...it's going to be very hard to get a loan for a house.
2007-11-27 11:30:37 · answer #6 · answered by bugggs 3 · 0⤊ 0⤋
If you want to ruin your life and loose all of your money, sure! You'll get a loan, won't be able to keep up with the payments, then you'll lose both your house and the big fat depost you invested in it. Go to Oprah.com and look at the Money section with Suze Orman...she has lots of practical advice. She'd probably tell you to hold off while you work on restoring your credit.
2007-11-27 11:30:09 · answer #7 · answered by jt_eradicator 3 · 0⤊ 0⤋
Very unlikely..Your first step would be to try and get a 1st time homebuyers loan..other than that if they shoot you down some states offer assistance for people like you to try and get a house..Look in your cities housing authority but it's nearly impossible to rent an apt with bad credit so well good luck anyways
2007-11-27 11:29:46 · answer #8 · answered by Anonymous · 0⤊ 1⤋
You MIGHT be able to get an "FHA" loan. The terms are usually less than favorable (depends on a lot of factors) and the interest rates are usually a bit higher than standard "sub prime" loans..but they CAN be had. Consult a mortgage banker on this, and hopefully he/she can point you in the right direction.
2007-11-28 00:47:20 · answer #9 · answered by :-) 6 · 0⤊ 0⤋
It is hard to get a mortgage for people with good credit right now. You could get into an owner financing situation (with a legit contract of course)
So yeah you do have options.
2007-11-27 11:30:31 · answer #10 · answered by Uni 3 · 0⤊ 0⤋