Posted by Ed Garcia on January 09, 2001 at 13:20:11:
Millie,
I agree with you when it comes to controlling your deal. I also agree that, if you control the financing, you control the deal. Millie, when doing a 100% financing, the loans are usually made based on credit worthiness. I would say your borrower would need at least a 640 credit score, might get it done with 620.
Millie, this is not an exact business, and there can be compensating factors when working a deal like this. Millie if you’d like to call me, I will be happy to give examples of what I’m talking about. Also if you’d like, I’d be glad to be you lender, and we both know that could be to your advantage. I’m glad you’re back, and I hope you have a good year,
Credit score for No Money Down - 1st & 2nd Mtg - Posted by Millie I.
Posted by Millie I. on January 09, 2001 at 12:15:55:
Hi Ed,
I am preparing a 2 unit ( 3BR, 2BR) for sale for somewhere around $100K. Buyers may live in it as one 5BR house, or rent the upstairs unit out for $475.
I am willing to carry 10% if the buyer can come up with 10% and qualify for 80%. What credit rating should I expect to see ?
If the buyer can only come up with just 5% or the closing costs, what credit rating do they need to get a ‘No Money Down’ 1st and 2nd from you? How much income required? How much debt allowed ? How do I pre-qualify them without sending them to their own lender? I’d rather provide my own lender so I can retain control, and I’d rather they don’t mess up their scores by having every lender in town pull their credit report.