How strict are mortgage companies now?

I've had 2 homes, and sold them both. No payments were ever late, as was the case with all my payments on everything else...car, student loan, credit cards, etc. for as long as I had the debt...credit cards over 10 years, at least 2 cars over 10 years, student loan over 10 years...nothing ever late up until the end of 2007.

Selling my last home was difficult, and I did run into some problems financially. My roommate/sister moved out, so I had a difficult time towards the end of the year, and 2 credit cards were late. I also had a couple of hopital bills that were late, and have been paid off now after finally selling my house. Everything's up to date now, and over the 7 months it takes them to build me a home, everything will be paid off. My only debt will be my student loans-god willing...I have no mortgage payment, since I'm temporarily staying with family.

Why would the mortgage company tell me that they won't be able to do anything for me until the end of 2008?

my credit score is not great, because of my late payments, but it's decent. I still have a 650, and when I pay off everything, it will be better.

I guess they have no faith in anyone anymore.

Really, I'd have to know your entire situation. Were you late on any mortgage payments after your sister moved out? How long have you been living with family? Maybe they're telling you this because they want you to have at least 12 months proof of renting out a place. Maybe they want you to have your credit score up above a certain level.

Did you try going to a mortgage broker, or just your local bank? A mortgage broker will have a lot more options for you as they have access to 100 different set of guidelines rather than just one set. My advice would be to check out a couple different places, and see if they can't help you. After seeing your credit, an experience broker should tell you exactly what you need to fix in order to buy a new home with a decent rate.

It depends on what type of loan you are going for... FHA is not credit driven, but they would like to see at least 12 months with no late payments preferrably 24 months. A conforming loan will need a middle score of at least 620, but with a 620 you need other compensating factors like a good downpayment (5-10 percent), job stability, and 2 months of reserves.

You should not have to wait until 2008. Your credit lates will only remain to hurt you for 4 to 6 months. Your hospital or medical lates do not hurt you as bad as the credit card lates. Mortgage company's are only really hard if you are getting a mortgage over $417,000. As for the builder and their incentives, in the state of California a seller can not force you to use their lender, but the builders seem to get away with it and the mortgage company over charges so be careful. I had a client who went to the builders lender, cw, and the loan officer offered him 8.25% when I could clearly get him 6.25%. My client had a 820 credit score and was putting 40% down. I gave him a qualifing letter for the 6.25% and then they dropped the rate......seems wrong to me! So, if you are going to stick with the buiders lender price around the rate and fight for the best loan even if you have to go and get proof of a better deal so yu can get a better deal. They are just trying to make you feel like you suck to hit you with a higher rate and fees....typical!

Wow, I am very surprised that you were told that they can't do anything for you. You must have been talking to the wrong lenders. You should have no problem getting a mortgage.