You may have lending options that make it possible to overcome that bad credit barrier when buying a home. This guide will teach you how to buy a house with bad credit, and where to go to find financing that will work for you.
Few factors: 1. The type of mortgage you want 2. The lender you’re asking 3. Who you are
– Traditional fixed-rate loans typically require a minimum score of 620 to qualify – Adjustable-rate mortgages (ARMs) require a minimum score of 600 – FHA loans backed by the U.S. Federal Housing Administration require a minimum score of 580 if you make a down payment of 3.5% – FHA loans with a 10% down payment only have a minimum requirement of 500
Every lender has a set minimum credit score they require to approve homebuyers for a mortgage. Some lenders will accept lower credit scores while others have stricter requirements.
VA loans have no minimum credit score requirement. They also have no down payment requirement. That means as a Veteran or Military Service Member, you can buy a house with bad credit with no money down, assuming you can find the right lender.
All it takes is one free phone call and a quick consultation with a HUD-certified housing counselor.