Newbie questions

[moetabaustin]

Hi, I'm new to this and looking for a little advice. My husband and I would like to buy a house in the future. He has no credit and I have bad credit. First of all, can he purchase the house without having my bad credit taken into account? If so, would it even be possible for him to qualify for a home loan with no credit whatsoever?

 

Thanks!

[fla-tan]

Hi, I'm new to this and looking for a little advice.  My husband and I would like to buy a house in the future.  He has no credit and I have bad credit.  First of all, can he purchase the house without having my bad credit taken into account?  If so, would it even be possible for him to qualify for a home loan with no credit whatsoever?

 

Thanks!

 

moe

 

There are ways to prove credit. If the utilities are in his name, then with FHA and some of the specialized conforming programs, that is credit. If he has a cell phone, then that is credit. How about the rent you are paying currently, that can be considered a credit reference.

 

So, in answer to your post, the answer is yes. Though I would say that FHA is most likely your best option.

 

 

fla-tan

[willtygart]

Agree with FLA TAN, several fannie/freddie programs out there that can overlook/accept "no" credit :wink:

[DACMAN]

On word of caution. If you live in one of the lovely "Community proprety" states, the lender will require your credit to be pulled. Though your bad credit can not be a reason to decline, any debts you have(ie payments that you are making ) will be counted against your husbands debt ratio.

 

FHA will definitely be the way to go depending on the max mortgage limits in your area.

 

see for limits: http://www.fhainfo.com/frameloanlimits.htm

[HDAlex]

Dacman,

 

Can you get around the community property requirement by purchasing the house sole and seperate?

 

The reason I ask is that immediately before my business blew up and my credit went south, I was in escrow on a KB Home that I was going to finance through FHA as married man sole and seperate. They only checked my wife's credit to make sure there were no judgements against her, and didn't count her previous defaults or debt against me.

 

Thanks,

 

HDAlex

[moetabaustin]

No, I don't believe we live in a community property state (Ohio). Thanks for the advice you guys!

 

moetabaustin

[HDAlex]

Shameless bump for DACMAN