Tag Archive for: credit score

How to Fix Your Credit to Get a Mortgage

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Are you looking to buy a home but concerned about your credit? Don’t worry. We have a comprehensive guide to help you. This blog will provide effective strategies to fix your credit. These strategies will increase your chances of getting a mortgage approved. We understand how important credit is for homeownership. Let’s explore how credit […]Read More

Minimum Number of Tradelines & Why We Have To Pull Credit

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Buyers often come to us and say something like this: “I have a 780 credit score; I make $275,000 per year; and I want to put $500,000 down against a $1.5mm home – what is your best rate?” We can quote a rate, but more often than not, it won’t be accurate because there will […]Read More

In Defense of FHA! Misconceptions Persist!

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FHA financing is ideal for first-time homebuyers or borrowers with low credit and limited savings. FHA loans have lower rates than conforming (Fannie/Freddie) loans. This is especially the case for borrowers with low credit scores (under 680).Read More

“Private” Mortgage Insurance vs. FHA Mortgage Insurance – Huge Difference!

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I recently blogged about three options to eliminate Private Mortgage Insurance (PMI), and I received several notes asking why I did not mention FHA Mortgage Insurance. By the way, I love reader-feedback, so please keep it coming – as it often makes for great blog fodder! I didn’t cover FHA Mortgage Insurance because I was […]Read More

How Credit Scores Affect Mortgage Rates; Real World Examples

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We recently had an agent scream at us (yes, scream) because of the rate we quoted to her client. Our rates of course are notoriously low and we also are not allowed to quote different rates to different clients. As I remind readers often in this blog, there is "no one interest rate for every borrower" because there are so many factors that influence every borrower's rate.Read More

Credit Inquiries – Way Too Much Concern

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On Friday, I blogged about the difference between consumer credit scores and mortgage credit scores: Does Credit Karma Lie To You? In that blog I pointed out why we need to run credit for every borrower and why we can never rely on the credit scores that borrowers give us verbally. In response, several agents […]Read More

Does Credit Karma Lie To You?

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After my wife Heejin and I moved to Texas, Credit Karma sent me an email with this subject line: “You’re making moves, Jay. Literally.” It reminded me of the Police song in which Sting croons: “With every step you take, I’ll be watching you,” because I definitely felt stalked. And yes, I had to work […]Read More

Understanding Your Credit Score And How To Improve It

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There are many components to your individual financial profile that lenders assess when examining a mortgage application. One of the most important is your credit score. A question for many first time homebuyers is, what is a good credit score? And how can you improve it? What Is A Credit Score? Three different credit reporting […]Read More

Can I Still Get A Home Loan With A Low Credit Score?

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A critical factor that influences a person’s eligibility for a mortgage is their credit score. But what if you have a low credit score? Are you not going to qualify for a loan? This is a widespread concern among homebuyers with low credit scores. However, it’s also a tough question to answer because every loan […]Read More

Credit Score Factors: How To Establish And Improve Credit

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In today’s economy, many people are uncertain about the process of securing a home mortgage loan. Questions can vary from credit score concerns, to down payment amounts to picking the right type of loan. When starting this process, being prepared can be your best asset, and JVM’s Client Advisors can help ensure your preparedness. While […]Read More

Buyers in Texas Don’t Need a ‘Perfect’ Credit Score

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Buyers in Texas don’t need a perfect credit score to qualify for a loan. Having a high credit score can help buyers secure a loan with a lower interest rate. However, today’s loans have more forgiving guidelines when it comes to a buyer’s credit score, which is especially true with government-funded loans. Where Do Credit […]Read More

Watch Out For A “Credit Refresh;” Don’t Pay Cards Down to Zero or Close Them

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We once had a borrower who stopped making mortgage payments on one of her properties after we pre-approved her. A few days before funding, we ran a “credit refresh” only to find out she had late mortgage payments and her credit score had dropped to 617 (we had to pull the funding and re-structure her […]Read More

The Dispute over Disputing Disputes (on Credit Reports)

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One of our most frequent credit issues involves reported “disputes.” Borrowers report an account in “dispute” whenever they believe some credit data (usually late payments) is reported in error. We usually need to remove the “disputes” from the credit report altogether with an expensive “rapid rescore” and borrowers often do not like this. We have […]Read More

Minimum Credit Score for FHA: 580; Minimum Score Conventional: 620

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Our FHA investors and lenders allow credit scores as low as 580 for low balance loans (under $417,000). Scores under 620 require a “manual underwrite.” Manual underwrites require perfect credit over the last 12 months and much lower than typical debt ratios. High Balance FHA ($417,000 to $625,500) requires a minimum credit score of 620. […]Read More