Is my credit good enough to buy a home?

Question

my credit score is about 650 i need a home so i'am looking at a home around 140,000 i will pay 20,000 down on a home will i be ables to get this home?

Answer 1

Yes, of course eyes closed.  Well, it all depends if you already have a home and have been late in your mortgage payments you will not qualify.  But other than that, less than perfect credit will qualify you, and with that downpayment much more.

Answer 2

Find a lender that does FHA loans.  They are more tolerant of lower credit scores (yours is subprime since it is below 680) and they only require 3% down (so you could use some of your cash to pay down other debt or make improvements to the house - or put in savings for emergencies)

Answer 3

You should be fine you might have to bargain a bit for the interest rate but you should qualify.  And where can you get a home for 140k?  LOL I'm from CA I can't find a shack for that.

Answer 4

Yes.  You should have no problem.  Of course, you could probably qualify for better interest rates with a better score and possibly reduce your payment.

Answer 5

You should be fine, but if you can either find another $8,000 or go down to $100,000 purchase price, you'll avoid mortgage insurance which can be very costly depending on your credit.  

If you do go with the $140k/$20k, made additional principal reduction payments every month, carefully watch the balance and when you get to 80% of the value, see if you can get the MI removed.  They may not be willing to remove it before 2 years, but it's worth a try.

Answer 6

Sounds like you are in the position to buy a home! The best of luck to you.

Answer 7

Your credit score is certainly high enough to buy a home with the downpayment you're considering.

If you're serious about buying it, you should speak with a couple of honest mortgage bankers and have them pre-qualify you.  Do not give anyone your social security number until you're pretty sure that you want to work with them.

The best credit tier begins at 720; beneath that, closing costs and/or interest rates can be a little higher.

Be sure to get a Good Faith Estimate and Truth in Lending Statement from anyone who quotes you an interest rate.

Good luck!

Jordan Graham

Mortgage Banker

Answer 8

Most likely you will cause of the market right now I believe the average crdit score in america is like 640 or something youll just probably get a higher interest rate

Answer 9

Def will be able to buy.

Discuss with your mortgage rep the best rate and mortgage program for your situation.