Mortgage financing with bad credit?
I’m looking to purchase a highrise condominium in downtown Houston next September.
I have what is considered deplorable credit by 99% of rating services, but good enough that I was able to finance a new car through a major lender this past summer. By then I should have well over $ 10k put away.
The average cost of the condos I’ve had my eye on are anywhere from $ 85-130k and I estimate that I could talk them down $ 5-10k if they really want to sell quickly.
My question is, even with the terrible credit, will I be able to easily find someone who will grant me the loan with reasonable terms? While I’ll have enough for 10% down, I still worry about closing costs and would like to still have something in the bank when it’s all said and done.
580 is what I hear is the “magic number” so to speak, and I’m not too terribly far below that, but like I said, I was approved through a major and very reputable bank this summer for my auto loan and hold two credit cards which I make timely payments on and keep the balances low.
Ok that all sounds good, but I’m pretty set on a condo. I’d like to buy it, build some equity, hopefully pay it off early, and have the option of using it as an ivestment property if I ever decide to move.
As a first time homebuyer do I have to get an FHA?
I have been pre-qualified based on my income. My car loan is actually at a very good rate considering my credit score. (around 10%…high, but very good for someone with my score)