bentonville: Minimum Credit Score to Increase for FHA Loans
- 10/19/10 11:32 AM
Last year most investors started requiring a minimum credit score of 620 to be eligible for a FHA Mortgage. Some investors such as Bank of America have now increased that minimum credit score requirement to a 640 to be eligible for FHA Financing. Chances are other investors will follow suite as early as November 01, 2010 and increase their minimum credit score requirements to a 640. If you a have buyer that is on the fence and they have between a 620 - 639 credit score. It is time for them to decide if they want to be a home owner or … (1 comments)
bentonville: 10 Commandments of Buying a House.
- 10/08/10 03:13 PM
A Realtor of mine gave me this a while back and I always thought it would go perfect in a frame on my desk for buyers to see when applying for a mortgage.
1. Thou shalt not change jobs, become self-employed or quit your job. 2. Thou shalt not buy a car, truck or van (or you may be living in it)! 3. Thou shalt not use credit cards excessively or let your accounts fall behind. 4. Thou shalt not spend money you have set aside for closing. 5. Thou shalt not omit debts or liabilities from your loan application. 6. Thou shalt not buy furniture. … (4 comments)
bentonville: Beware of the YES Man!!!
- 10/08/10 02:17 PM
I cannot tell you how many times I have had a buyer sitting in my office telling me their story of why they went with another lender. They are upset because they got declined right before closing or can not get that lender to call them back. It always starts out as “they told me it would not be a problem”. My follow up question to that is. “Did they have your credit pulled, and did you provide them with your income and asset information prior to them telling you it would not be a problem”? Majority of the time, that … (2 comments)
bentonville: What does a 1% change in Mortgage Rates do to your Purchasing Power?
- 10/03/10 10:47 AM
When a buyer gets pre-approved one question I always ask is how much of a payment can they afford? Not how much we will approve you for, as that may be a different number. The affordability of a payment is made up between the loan amount, interest rate, down payment, taxes, and insurance. In the current market we have rates that are running along the all time low levels. Along with these all time low rates we have depressed housing prices, which are the lowest most of us have seen in our career. Couple these two and you have an AMAZING … (2 comments)
bentonville: Why is the Mortgage Lender asking about deposits in my bank account?
- 09/30/10 05:16 PM
When applying for a mortgage loan it is important to understand why underwriters ask certain questions. One of the most popular questions is “why do you care where a get the money for my down payment and closing cost”? First understand that when supplying bank statements for a mortgage loan, only the past 60 days worth of statements are required. There are a few things an underwriter looks at when they are looking at your bank statements. The one in question are the deposits. Depending on the type of mortgage loan you are applying for (Conventional, FHA, etc.) will dictate how … (9 comments)
Last year most investors started requiring a minimum credit score of 620 to be eligible for a FHA Mortgage. Some investors such as Bank of America have now increased that minimum credit score requirement to a 640 to be eligible for FHA Financing. Chances are other investors will follow suite as early as November 01, 2010 and increase their minimum credit score requirements to a 640. 
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