Jump to content

Sign in to follow this  
MamaLlama

Advice desired on what steps to take to get us in a home as soon as possible

Recommended Posts

*sigh*

So, we had a VERY bad couple of years a while back. We didn't do anything to help our credit, just survived. We are beyond ready to become homeowners again. Here is where we stand at the moment... All vehicles paid for. The only other debt is a 401K loan at $83 every 2 weeks.

FICO 2-4-5 mid score is 610

 

GOOD, or ok

AU - Rooms to Go, $4500 limit, $0 balance, pays as agreed no lates, opened 11/09

AU - Home Depot, $5001 limit, $632 balance, pays as agreed no lates, opened 2/09

Wise Credit - Auto Loan, paid in full, closed 7/2014, sprinkled with lates unfortunately

Regions - Line of Credit, opened 5/2015, six 30 days sprinkled in there. $300 limit, $28 balance

Valero - $1100 limit, $0 balance, no lates, not used since 9/16, but still open

 

BAD

chargeoff - $300 DOFD 9/2015 **

collection - $1161 DOFD 12/2013 **

collection - $580 DOFD 9/2013 **

collection - $1352 DOFD 10/2013 **

 

Medical Collections (because I understand they aren't held against you... or as much?) these are under Whychat's HIPAA program currently.

$54 DOFD 9/2013

$142 DOFD 9/2012

 

Bleh. Now the UGLY

2 judgements. 1 satisfied, 1 will be satisfied in August. It's for $650. :cry2:

Income is on track to bring in 70k this year. Grossing just over $5900 a month, but we want to stick in the price range not to exceed $215,000.

OH, the ** above... We will have the ability to pay those off in full in August if it won't hurt our scores. That's another thing I need advice on.

 

Is it POSSIBLE for us to be able to buy by the year's end? If so, what steps do we need to take to make it happen? We have $10,000 to put down.

 

I have been working so hard on getting the reports cleaned up as much as I can by working in the credit forum... I didn't even realize that mortgage credit was a whole other animal. I guess it is still the same elephant, and you still eat it one bite at a time, but I don't want to take any more steps backwards.

 

Please tell me it's possible and we won't have to sign another lease in March. :dntknw:

 

 

 

Share this post


Link to post
Share on other sites

I suggest posting a thread on dealing with the COs in the main credit forum if you haven't already. As you seem to know, getting a mortgage may require paying them but that may not be in your best interests both in terms of credit AND in terms of your long-term financial health.

 

also, it may be a long shot, but you might want to try a GW letter for the lates on the auto loan and Regions.

 

IMHO, you need to open a couple more bank cards. A couple secured credit cards may help a lot. There are large threads with good info on the good secured card options out there (search the main forum). The downside, of course, is this will lower your AAOA which can lower FICO in the short term.

 

To be blunt, you might be able to get a mortgage in the timeline you want, but the terms may not get favorable. Hopefully one of the mortgage experts will chime in.

 

good luck :)

Share this post


Link to post
Share on other sites

I suggest posting a thread on dealing with the COs in the main credit forum if you haven't already. As you seem to know, getting a mortgage may require paying them but that may not be in your best interests both in terms of credit AND in terms of your long-term financial health.

 

also, it may be a long shot, but you might want to try a GW letter for the lates on the auto loan and Regions.

 

IMHO, you need to open a couple more bank cards. A couple secured credit cards may help a lot. There are large threads with good info on the good secured card options out there (search the main forum). The downside, of course, is this will lower your AAOA which can lower FICO in the short term.

 

To be blunt, you might be able to get a mortgage in the timeline you want, but the terms may not get favorable. Hopefully one of the mortgage experts will chime in.

 

good luck :)

Thanks! We did just send over the final documents (birth certificate even though they share a name, lol) for an account at Navy Fed and plan to apply for a card through them.

 

Do you know if the AU accounts help for anything other than AAOA? Should I count them as our lines of credit, or no? A cousin is debating on putting me as an AU on one of his old accounts, but I'd verifying his utilization now and in the coming months to make sure it doesn't bite us.

Share this post


Link to post
Share on other sites

Have you checked your intended area for USDA income limits?

Yes, we're well within the limits for USDA and a lot of the areas we're looking in qualify.

Share this post


Link to post
Share on other sites

 

Have you checked your intended area for USDA income limits?

Yes, we're well within the limits for USDA and a lot of the areas we're looking in qualify.

They'll want a 620 for streamline, but that shouldn't be awfully hard. I would decide on direct or guaranteed and talk to someone about what they'd like to see from you.

Share this post


Link to post
Share on other sites

<snip>

Do you know if the AU accounts help for anything other than AAOA? Should I count them as our lines of credit, or no? A cousin is debating on putting me as an AU on one of his old accounts, but I'd verifying his utilization now and in the coming months to make sure it doesn't bite us.

 

 

AU accounts do count towards FICO. Under manual review, an UW can clearly see that it's an AU, and will disregard them in their risk assessment -- but they do count towards that all important FICO score.

Edited by JeffeVerde

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  




About Us

Since 2003, creditboards.com has helped thousands of people repair their credit, force abusive collection agents to follow the law, ensure proper reporting by credit reporting agencies, and provided financial education to help avoid the pitfalls that can lead to negative tradelines.
×
×
  • Create New...

Important Information

Guidelines