Is there an FHA Approved lender that will loan to someone with credit below 580?
I was denied a loan for my first home due to a low credit score. I am really stressed cause i want my house, i can afford it but ive been denied. I heard that credit scores are not the deciding factor in FHA but it seems to be this time. any help is greatly appreciated
- Anonymous1 decade agoFavorite Answer
Your right credit score is not a deciding factor for FHA but 2 things. 1 -they go by recent 2 year credit history and generally anyone with a score under 580 has some recent poor credit, whether it be a late payment or 2 or a recent collection. 2- FHA may not go off of credit score but most lenders who do such loans can have their own credit standards for lending which is generally around a 580 for the same reason I mentioned before. If you do have recent good credit see if you can find a lender willing to have the loan manually underwritten for an exception or see if putting a larger down payment on the home (more than the general 3% minimum) would help increase your chances. Other than that I'd suggest that you just keep paying bills on time and slowly the score will improve.Source(s): mortgage broker
- golferwhoworksLv 71 decade ago
yes there are. If you are in TN or KY I can help.
If not Taylor Bean & Whitaker for sure will