MY SIL said she's never heard of someone NOT getting a mortgage...she even said that she knows someone that was working through a bankruptcy and got a mortgage.....
this is all so scary/exciting
Kriss2c
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Re: Honestly...how hard is it to get a mortgage..
My FBIL has terrible credit and he was able to get his. They even had to pull another credit report at the time of signing and he was fine.
My credit is a lot better now than what it was and so is FH. FH had a previous bankruptcy but his credit score is only a little bit under mine in the 'execellent' category... whatever that means.
It wouldn't hurt you to talk to a mortgage broker or even pulling your own credit report. Especially if you are not planning on house hunting right away -- this way you can work on getting it in better shape.
Donna
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Re: Honestly...how hard is it to get a mortgage..
What you and DH should do is pull your credit reports now and check them over. Make sure everything is ok. You can also order your credit score too over the internet. When getting a mortgage it is better to be pre-approved, so know is the time to speak to your bank, etc and find out how you score. Now is the time to make changes so you can be a better buyer on paper
ETA - check out those govt websites like 'understanding your credit', etc. I see a commercial on tv when the lady won't buy shoes because she wants a house
sept20yay
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Re: Honestly...how hard is it to get a mortgage..
dont check your credit too much though. each time you check it drags down your credit rating.
Kriss2c
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Re: Honestly...how hard is it to get a mortgage..
Posted by sept20yay
dont check your credit too much though. each time you check it drags down your credit rating.
Yes that is true. However, when you are shopping around for a mortgage, lenders understand that you will try a bunch of banks to see how good a rate you can get.... so it takes something like 10 hits from a mortgage lender to bring down your score. At least that is what I was told.
nov04LIbride
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Re: Honestly...how hard is it to get a mortgage..
I think it also depends on how much $ you have to put down. With not much money to put down, you will be paying PMI. And if your credit rates are lower, the mortgage rates will be significantly higher. They also may put points on your mortgage in addition to giving you higher interest rates. Also, you may want to rent until you both have stable positions in Atlanta. I have been shopping around for our mortgages lately, and each bank asked how much we were making, how long we had been with the company, how long had we been in these positions, how much do we have in retirement, how much do we have in savings and checking...So, to answer the question, I think you would get a mortgage even with a not so good credit, but you will be paying a great deal more for it since they are taking a gamble giving a mortgage to you.
nov04LIbride
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Re: Honestly...how hard is it to get a mortgage..
Posted by Kriss2c
Posted by sept20yay
dont check your credit too much though. each time you check it drags down your credit rating.
Yes that is true. However, when you are shopping around for a mortgage, lenders understand that you will try a bunch of banks to see how good a rate you can get.... so it takes something like 10 hits from a mortgage lender to bring down your score. At least that is what I was told.
Kriss2c is right--so long as you shop around for mortgage rates within 14 days of when you first started having them check, it only counts as 1 hit from a lender, regardless of how many do a credit check. Just make sure to stay in that 2-week window, and don't let them tell you that shopping around will bring down your credit score!
Karen62794
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Re: Honestly...how hard is it to get a mortgage..
First thing you need to do is get a copy of both of your credit reports and clean up all the old cc cards that you don't use.
Try to pay off any existing debts. The more outstanding debts you have, the least favorable your rate/terms may be.
We used a broker, who was excellent. We got a very low rate. If you do your research, then you should be able to get a good rate.
You will ned to provide 2 years of W-2's and tax returns.
Any monetary gifts in excess of $5,000, you need a letter from the person who gave it to you. They need to explain that it is a gift and not to be paid back. This is in case you receive any gifts while you are in contract. We received 2 large gifts and we needed to provide proof that they were gits and not loans.
If your credit is good, then you should have no problem. Again, shop around.
Jenn524
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Re: Honestly...how hard is it to get a mortgage..
Running your credit report to check on your credit will not bring down your score. It's only if you do it every couple of weeks that it would be noticeable. Everyone should check their credit on their own at least once a year if not every 6 months (trust me on this, it's what do for a living).
As far as getting a mortgage, bad credit might mean that you wont get quoted the best rate. You'll still get a mortgage but if the going rate is 5.50% and you have so-so credit you might get quoted 5.75%. Down payment will make a difference.
You can't change your credit report from things that happened in the past. Any delinquences in the last 7 years will show up on your report. But when you can do to help yourself is make sure you're on time now with your bills, and try to get your debt down as much as you can.
Personally I would stay away from mortgage brokers and just deal directly with a bank. Mortgage brokers charge you a fee, usually about 1% of the loan. Why should you fork out about $3,000 when there's so much information available online? You could find out low rates on your own.
DjPiLL
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Re: Honestly...how hard is it to get a mortgage..
Your situation is different because you are trying to get a mortgage for a property out of state.
I see this as being especially difficult with so-so credit.
If they give you the mortgage... great. But don't expect to see spectacular rock-bottom rates.
I could be wrong though.
KarenB
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Re: Honestly...how hard is it to get a mortgage..
You can pull your own credit as much as you want. It is called a Soft Hit and doesn't count against your credit. I recommend Credit Manager.com. Then you can sign up to receive all 3 bureau reports at once and get your Credit score in minutes also. There is a fee for this but well worth it. You can also call banks and tell them your numbers and they can give you a quote that way, once you find a number you like, then have the bank run a credit report to start the mortgage process.
Bride2B93
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Re: Honestly...how hard is it to get a mortgage..
Posted by DjPiLL
Your situation is different because you are trying to get a mortgage for a property out of state.
I see this as being especially difficult with so-so credit.
If they give you the mortgage... great. But don't expect to see spectacular rock-bottom rates.
I could be wrong though.
That is what I was thinking...you should get a mortgage but your rate will probably be higher. (but hopefully I'm wrong)
