How to get a mortgage with bad credit?

Our scores our probably in like the 500's and the house we are looking at is only about 35,000How to get a mortgage with bad credit?
Few banks do micro loans, even with good credit.



The only thing that might work for your would be a VA loan, of course you need to be a vet to qualify.How to get a mortgage with bad credit?
That's easy - you don't. You need a minimum of 680 - 700 score, 3 years track record on the job, car loan (if any) at least 1 - 2 years old without any late payments, low debt-to-income ratio, no charge-offs, etc. And you need 20% down payment, plus closing costs, plus 3 - 6 months of reserves.



You're a renter, and staying that way until you meet requirements.
You said your credit scores was in the 500's therefore I would guess that you really don't know your scores because you have not had a credit report ran on you in a little while.



The only way you will ever find out for sure if you are qualified for a mortgage loan program is to apply for a mortgage loan with a local mortgage banker/broker. It cost nothing. Once your credit report has been ran and you know your credit scores then you would know what you have to do to correct things on your credit report.





There are many things you should do, but the first thing you should do is contact a mortgage broker that does FHA mortgage loans and get pre-approved. This is the first step. Once you have your pre-approval then contact a real estate agent to look at house based on what you are qualified to buy.



You will need proof of income so have available pay stubs, w-2, bank statements and other items your mortgage broker will require.



He will inform you of what is necessary once you contact him.



This pre-approval will tell you the amount of house you are qualified to purchase as well as the interest rate, monthly mortgage payments and other necessary things you need to know about your mortgage.



I hope this has been of some benefit to you, good luck.



';FIGHT ON';
In short you don't. In fact no mortgage professional will even look at a loan this small. It takes just as much time to do this loan as it does a $200,000 loan. The fact is we cannot even do section 32 high cost loans, By the time you put underwriting and processing fees on this it would be in section 32. There is no way to make that fly

I am a mortgage banker in TN
FHA, for the moment, will allow 580 credit scores. Soon you will need more down payment with that score. There are very few investors that will take credit scores below 620. With a 620 middle score you may be able to get a loan with only 3.5% down.



Golfer...you better watch out. You could be charged with discrimination for refusing to do a loan based on the loan amount. There are testers out there. They could call you next. Bye bye license.