Can you get approved for a house if you have bad credit but have 20% of the down payment?
- 8 years agoFavorite Answer
You will need to look for a bank that underwrites their on loans. Call a bank and ask to speak with their loan officer. If they do underwrite their own loans, make an appointment to come in and to apply for a loan. If you have a 20% downpayment and can provide at least two years of employment or cash flow, you shouldn't have too much trouble obtaining a loan even with bad credit. Your credit rating will mainly affect your interest rate. You will want to get a fixed rate to lock in today's low rate even if a variable rate is lower. BTW I know that most BB&T branches do their own underwriting.
- chatsplasLv 78 years ago
Maybe, with a co-borrower. . . .but difficult
IMHO you should FIX your credit NOW, before trying to buy a place
Bad credit shows a history of poor financial management
Pay off your delinquencies, pay off your credit cards, get your financial house in order
Read some financial self help books, get Dave Ramsay books or tapes from library
Depending on how bad you trashed your credit, in 6-18 months your credit should be greatly improved
You fix it the same way you trash it, one month, one payment at a timeSource(s): real estate investor
- Go with the flowLv 78 years ago
You can have bad credit, but all items on your credit reports need to show PAID.
Mortgage companies will not lend to you if they know someone out there will sue you in the future.
They want to see clean credit reports.
- 3 years ago
I'm interested to know more about this too
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- Glenn SLv 78 years ago
no......620 FICO with FHA or 680 FICO with conventional.
- LandlordLv 78 years ago
No, of course not.
- 8 years ago