Credit Challenged?

Can one buy a home with damaged credit?    

The biggest challenge for the consumer with damaged credit is misinformation.  The internet is crawling with misinformation about credit.  The other challenge is that credit is a moving target and it’s hard to get from where you are today to where you want to go when you are trying to hit a moving target.  

In fact if you are trying to take advantage of the current reduction in purchase prices in the Real Estate market generated by the foreclosure crisis, you are not alone.  However, getting your credit in order quickly and effectively is a high priority because if this crisis passes before you have fixed your credit, you will pay more later for homes that are “on sale” today.

Hello my name is Helen Williams, Certified Mortgage Planning Specialist with Titan Funding Group in Eugene, OR.  

There is a disconnect between what is being reported in the media and on the internet and the reality of the world for mortgage seekers with damaged credit today.  Where a couple of years ago, you could buy with no money down and current credit problems, it is now perceived that you cannot buy today without twenty percent down and perfect credit.  

Here are several things that most people are not aware of or don’t completely understand when it comes to credit in today’s Real Estate Financing market.

• Credit Score minimums are both determined by Fannie Mae, Freddie Mac AND individual lenders.
• The credit score necessary to purchase a home with FHA or VA financing has risen and will continue to rise.
• Erroneous information that may impact your ability to secure financing occurs in approximately 25-30% of credit reports.
• Credit Restoration is a valid, professional service that, when done correctly helps consumers fight the big three credit agencies and get the financing they deserve.  However many scams exist in this arena and consumers need to be very careful.

Some general rules of thumb when considering credit.

• Look at your credit report a minimum of 90 but better yet, 180 days prior to needing to secure financing to give time disputes to take hold.
• Pay your creditors first, and resolve disputes later.  If they ding your credit report today, it could be a year or more before the damage is fixed.
• If you have a credit event in your past caused by divorce, death, illness, job loss and the crisis has passed but the credit damage has not, you need professional assistance.

One of the strategies that I provide for my clients and professional partners is called a Credit Availability Review. 

I can provide a very low cost consultation to see learn about your objectives and see how we can develop a strategy to get the financing you want.  The discussion requires I obtain a few pieces of information from you, gathering that data takes less than 10 minutes. Leave no stone unturned in your efforts to get financing.  I am not in the business to make money from helping people to fix their credit, but I have witnessed several of my past clients be taken to the cleaners by companies saying they are helping to fix their credit only to take their money and leave them without a plan.   I charge you only what it costs me.  Once we fix your credit you will be able to buy a home.  Then we will have the exploratory conversation to determine the right strategy to go about doing that for you.  And be sure to ask about the complimentary Total Cost Analysis report.  If you decide to take action and secure a mortgage the Total Cost Analysis helps you choose the right mortgage.

What do you have to lose? More importantly, what do you have to gain?