I have always enjoyed and take great satisfaction in helping people buy their dream home or buy their first home. Especially with first time home buyers it often can be a long and deliberate process for the client and me. I have seen it take 2 years before. Thankfully, I am persistent and/or stubborn. I have always told my clients that I am willing to work as hard as they are.
But, there is one client or one type of client I can't help sometimes. And that's a client who does not listen to and act on my advice. I have one client I have been talking with for nearly a year.
In the spring of 2009 I ordered her credit report and she only had one credit score because she has so little credit in her name. At that time, I had 4 or 5 banks who would lend to her with just one credit score. I encouraged her several times to open an additional credit card or personal loan or to add her name as a co-borrower to a family member's credit account to establish more credit and 2 or more credit scores so that she could be easily approved for a mortgage.
She recently called me about getting pre-approved again for a FHA loan as other mortgage lenders she talked to were not helpful and did not call her back ever. So, I ordered her credit report and guess what? She still only has 1 credit score and only 1 credit account. Ugh! I wanted to scream!
Now, I only have 1 bank that will potentially approve her loan IF we can document non-traditional credit. And this bank charges extra for her lack of credit scores and credit history. In fact, she will now be out of pocket an additional $2,000 because of this decision.