How to Buy a Home Even if You Have Bad Credit –

How to Buy a Home Even if You Have Bad Credit. published a great article on how to obtain a mortgage even if you have bad credit. The article begins by breaking down the separate entities of your credit report and how they all contribute to your overall credit score. The key factors to understanding your credit score are knowing and acknowledging: Payment history, Debt-to-credit utilization ratio, Length of credit history, Credit mix and New credit. Understanding the contributing factors of your credit score is a great starting point to understanding and ultimately increasing your credit score.

Do you know what an ideal credit score is?

“A perfect credit score is 850, but only about 0.5% of consumers reach that number, according to Fair Isaac Corporation, creator of the widely used FICO credit scores. Once you’re over 740, you’re considered to be in the best range for mortgages and should be able to qualify for the best interest rates, says Chris Hauber, a mortgage loan originator with Hallmark Home Mortgage in Denver, CO. If your score is in the 700s, you should still be able to qualify for an attractive interest rate. For conventional loans, most lenders look for a credit score of at least 620, says Hauber. At a minimum, applicants should have at least a 660 credit score to land a decent interest rate and avoid jumping through additional hoops to qualify for a loan.

Moreover, there are loan programs designed to help people with mediocre credit buy a home. Federal Housing Administration (FHA) loans have some of the lowest credit-score requirements at 580 with a 3.5% down payment. Loans backed by the Department of Veterans Affairs let military veterans put as little as 0% down on a property without having to pay private mortgage insurance,”  according to

Click the link below for more vital information regarding your credit score. This article breaks down how to remove errors, black marks and late discrepancies from your credit report. Have you recently gotten a copy of your credit report? Share your experience in the comments.

Visit – the ONLY source for accessing your free credit reports guaranteed by federal law. This governmental monitored website requires each of the three nationwide consumer credit reporting companies – Equifax, Experian and TransUnion – to give you a free credit report every 12 months.

If you have any questions on your credit score or credit repair, please contact the Schaller Mortgage Success Team Today!! We look forward to hearing from you.


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