I have VERY bad credit with debt - can I qualify for ANY home loan?

I see people all of the time with houses that they own and I know as a fact they have bad credit, poor paying jobs and little or no money down. HOW ON EARTH did they get approved for a house? I am stuck in the renting game, and I am tired of it. My lease is about to expire and I want to own something but a bad credit score of 530 is haunting me!!! It is not a bankruptcy or anything, just a bunch of small bills here and there (about 15-20 of them) from my past that never got paid and some are charge offs. PLEASE tell me if there is ANY hope that I could qualify for any loan out there? I don't need credit repair advice, just yes or no with some details. I am located in Colorado - would FHA work or not?! What's the secret here...I have VERY bad credit with debt - can I qualify for ANY home loan?
No way at this time. You need to improve your credit score to be at least 620 for an FHA loan. FHA has the lowest credit requirement for a buyer.



Talk to a good loan broker that is willing to work with you over a six month period to bring up your credit score. Normally I recommend that buyers should avoid loan brokers, but in your case their extra fee's are worth it because they often are willing to work with you and help your improve your FICO scores. It won't happen over night. Another word of advise.....pay your bills on time, 30 day late's on your credit report kill your credit score.I have VERY bad credit with debt - can I qualify for ANY home loan?
You are NOT paying your bills. A credit score of 530 is horrendous. people like you are most of the cause of the housing market. You all are trying to buy what you clearly can not afford. Can you get a loan with that credit score? That would most likely be a NO. If by some miracle you do get one, then the bank who gave it to you deserves what they get when you default on the loan. Believe me, you will default on the loan.
It all depends on if your have defaults on your credit account or not. A default notice is usually issued after 3 continuous months of non-payment. If you do have any of these then you will get a loan but it will be very very high interest. Defaults and CCJs stay on your file for 6 years.
Oh you can find banks that'll loan to someone with bad credit and get a home mortgage. Problem though is they'll be paying out the load in interest rates
NO, the game has changed

You can become a home owner IF you work at it

you need to clean up your financial act

ypu need to pay off delinquencies, pay down debt, stop using credit, paying off cards, raising credit scores

you need to start saving for the down payment--the less you have, the less likely you will get a loan, and the more likely the rate will be High

wanting something doesn't mean you should have it or can get it....you need to make it happen, not make excuses, not tell us not to tell you the truth



YOU need to repair your credit--no one is going to lend to you now
More than likely you would not qualify for a loan. If you do, you would have a high intrest rate. I mean extremely high (about 18% or greater). Most (honest) lenders won't give you a loan with that interest. Unless you make a large downpayment and have alot of income.



If you have high income they might make an acception. To qualify for an FHA they will look at the last two years of debt history. You can try and prove you have been making your rent, utility payments on time and get a few letters of referenece might help but I doubt it. If you score is 530 you are pretty much locked out of homeownership until either your score is above 620 (that is still low but acceptable), the chraged off debt is removed (7 years) or you can rebuild your credit with a secure credit card and try again in a year or two.



You have alot of charged off bills. To be honest with you you are proably going to have to wait util those are removed. Those unpaid bills show alot of irresponsibility. I understand you may have lost your job.medical or family issues that kept you from paying but that is how creditors are going to view it.



You can get a co-signer but they will use the score of whoever is lowest. You could try for a section 8 house but they are strict income requirements. You might want to consider something small like a secured credit card and work your way to a house.



A house in a serious responsibility. In addition to bills, you have to maintain the property, taxes and insurance. It's alot of work and if your credit score is that low you might not be ready for it.



I just tried to get my friend a house who has a 540 credit score and he didn't get it. We used FHA and I even tried to co-sign but it didn't work.



Good Luck
With an abysmal score like that, no, you will not qualify for any home loan.

Who are these people that you know who have horrible credit, bad jobs and bought with little to no money down? Was this a few years ago? like 2005 / 2007? LOL Believe me, anyone will a pulse at one time was given a mortgage...Be glad you didn't get in the market then!



As for not wanting credit advice, you need credit advice! Get your credit in order, save a down payment and then, maybe you will be ready to own a place. There are no short cuts any longer to home ownership.