Can my wife and I buy a house with bad credit and a substantial down payment?

Our credit was ruined because of some bad business deals in the late 1990's. We had to file chapter 13 bankruptcy. (We repaid the debt in early 2007. In addition, I changed jobs, took a pay cut and we now have a few late payments on our record. Prior to this situation both of us had credit in the 700-775 range. We want to buy house immdiately. We both work government jobs and together make approximately $5000 net montly, we have no other credit cards or other outstanding debt. We currently own a house and have accrued about $30,000 equity to use toward the purchase of a home. What is a good plan of action for us to buy a home ASAP?

Home loans are now available to many people for whom they would have been out of the question just a few years ago. You鈥檇 be in much better shape to bargain for better interest rates if you had a more impressive credit history, but if the house you want is the deal you<!--believe it to be, a bad credit home loan can still work to your advantage.Your best bet in assuming a bad credit home loan is to pay as much cash up front as possible, and see if by doing so you can negotiate a lower interest rate.

http://best-loans.awardspace.com/homeloa...

You鈥檒l save enough money over the term of the loan to compensate for the sacrifices you had to make in handing over the down payment.
The bad credit home loan can be a win-win proposition for both lenders and borrowers; the lenders, thanks to the higher-->interest rates, get bigger returns on the money loaned, and the borrowers get a homes in which to build equity, and chances to restore their credit records so that the first bad credit home loans they take will also be the last!

Not bad you two look in good shape what are you waiting for

Moving man is on the way

Get a pre-approval before you start house hunting.

Why don't you make an appointment with a lending specialist at your bank and explain to him/her your situation. I'm sure they can do a credit check on you for a fee and then they tell you how the results of that credit check affect their ability to offer you a purchase money first mortgage.

You can probably do the same thing with your current lender. Typically there is a telephone number or website where you can explore various lending options with them. In addition, they have your mortgage payment history right in their data bank so they might be very quick with a response.

If you encounter a reluctance from these lenders based on your past credit problems, ask what you can do to improve your credit score and follow through with any reasonable recommendations.

Good luck.

It depends what you mean by substantial. If its 20% or more you will have a great chance depending on how bad the credit scores are. E-mail me if you have any further questions.I'm a Real Estate Professional. bluelobster7@msn.com.

Talk with a loan officer. They can tell you want to do.

Based on your post, it appears that you can.

Remember to only have your TOTAL monthly house payment (PITI) be 25% MAX of your gross monthly pay. (NOT NET)

I recommend finding a mortgage broker to help you find the best financing. I've used them before. The National Association of Mortgage Brokers may be able to help you:

http://www.namb.org/namb/Default.asp

Hope this helps!

Have you tried www.prosper.com? Check it out, you'll be able to borrow from people like us. Make sure you create a good profile with your honest story and reason you have a bad credit. As long as you make sure you are planning to improve your credit, people will be willing to help you with your loan. Good Luck. :)

Research..Research..Research.....Its a buyers market right now as home sales are down all over the USA. Go online and visit with all the major real estate companies...lay out your game plan...be very specific as to what you are looking for and what you will and will not do....REMEMBER they need YOU!. Simply type these words into your search bar and click:...I need help buying a house......now spend 30 days going over the information found there.
Best of Luck!!!!!from the Murphy's