Can I Qualify For An FHA Loan With Bad Credit
Everyone can go through a financial crisis at one time in their life. Hardworking people can lose their jobs, lose their business, have a death in the family, go through extended illness, or go through a divorce. If any of these extenuating circumstances happen in one’s life, there is a disruption in their income. With a disruption of income, people lag behind in paying their bills timely. HUD and lenders fully understand this. This is why FHA loans are the best loan program for folks with prior bad credit. You do not have to pay outstanding collections and/or charged-off accounts to qualify for an FHA loan. The team at Capital Lending Network, Inc. will help you structure your loan application so you can qualify for an FHA loan in Oregon with bad credit. Again, over 75% of our borrowers at Capital Lending Network, Inc. are folks who either could not qualify at other lenders or got a last-minute loan denial due to their lender overlays. Gustan Cho Associates dba Capital Lending Network, Inc. has no lender overlays on FHA loans. We have a national reputation of being able to originate and close FHA loans where other lenders cannot.
The Benefits Of Homebuyers To Qualify For FHA Loans In Oregon
FHA loans in Oregon are ideal for first-time homebuyers and buyers with less than perfect credit and lower credit scores. The role and mission of HUD, the parent of FHA, is to offer the average hard-working American family a chance to own their own homes with a low down payment, no red tape, and less than perfect credit. Homebuyers can qualify for an FHA loan in Oregon with credit scores as low as 500 FICO. Homebuyers can qualify for an FHA loan in Oregon with a 3.5% down payment. However, borrowers need a 580 credit score to qualify for a 3.5% down payment home purchase FHA loan in Oregon. Borrowers with under 580 credit scores and down to a 500 FICO require a 10% down payment. Outstanding collections and/or charged-off accounts do not have to be paid to qualify for an FHA loan in Oregon.
HUD Agency Mortgage Guidelines On FHA Loans In Oregon
HUD has the most lenient agency mortgage guidelines for first-time homebuyers, buyers with outstanding collections and/or charge-off accounts, and lower credit scores. This is why many homebuyers opt for an FHA loan versus other loan programs.
The following are the Oregon FHA loan requirements:
- The minimum credit score required is a 580 FICO to qualify for an FHA loan in Oregon for a 3.5% down payment home purchase loan
- Homebuyers with credit scores between 500 to 579, HUD requires a 10% down payment
- Borrowers need to show a two-year employment history
- The maximum front-end debt to income ratio required is 46.9% and back-end of 56.9%
- Non-occupant co-borrowers who are allowed if the borrower cannot meet the minimum debt to income ratio requirements
- Gift funds for the down payment and/or closing costs are allowed
- Only owner-occupant primary one to four-unit residential homes qualify
- HUD-approved condos are eligible for FHA financing
- There is a two year waiting period after the Chapter 7 Bankruptcy discharged date
- There is a three year waiting period after foreclosure, deed in lieu of foreclosure, short sale
- Capital Lending Network, Inc. are experts in manual underwriting
- Borrowers who cannot get an approve/eligible per automated underwriting system and get a refer/eligible per AUS can get qualified and approved with a manual underwrite on FHA loans
The team at CLN Mortgage can help our borrowers rebuild and re-establish their credit after bankruptcy and/or a housing event. You do not need to hire an expensive credit repair company to repair your credit. We have helped countless borrowers get their credit scores to over 700 FICO in less than one year after the Chapter 7 Bankruptcy discharged date and/or foreclosure. The key to being able to qualify for an FHA loan after bad credit in Oregon is to have timely payments in the past 12 months. No late payments after bankruptcy and/or foreclosure is a must.
Get Pre-Approved For An FHA Loan With A Mortgage Company With No Lender Overlays
Homebuyers who need to qualify for an FHA loan in Oregon with a lender with no lender overlays on government and conventional loans can contact us at Capital Lending Network, Inc. at 262-716-8151 or text us for a faster response. Or email us at email@example.com. Gustan Cho Associates dba Capital Lending Network, inc. are actually licensed mortgage lenders and not a lead generation company. We do not sell your name to anyone and have our in-house experienced loan officers contact you. You can rest assured once you are pre-approved, your loan will not just close but will close on time. Gustan Cho Associates dba Capital Lending Network, Inc. NMLS 1657322 is a mortgage company licensed in multiple states with no lender overlays. Our team at CLN Mortgage are experts in being able to originate and fund home loans where other lenders cannot.