Posted on: 10th Dec, 2009 05:16 am
My wife and I have been living in and paying the mortgage in one of my father-in-laws homes for about 10years. The payoff on the house is about 80,000 and I want to purchase it under my name. My credit score is in the 530 range, but better than my wife's. My father is willing to give me 60,000 towards the purchase of the home, which would leave me at about 20,000 left on the payoff, but with my credit, the bank probably won't give me that 20,000 loan. What would be the best option for me and least expensive without having to reappraise and start over with a new mortgage.
Hi skynz,
If you do not want to go for a new mortgage and do not want to incur expenses on appraisal, etc., you can consider the option of taking a personal loan. The outstanding balance on the loan is about $80k and with your father's assistance you can pay off almost $60k. The rest of the $20k can be obtained using a personal loan. But the problem is your credit score. With credit score at 530 range, you cannot expect to get any kind of loan in this market. I think you should continue making the mortgage payments just the way you have done so far and once your credit reaches 600-620 mark, you can apply for a new mortgage and pay off the loan.
If you do not want to go for a new mortgage and do not want to incur expenses on appraisal, etc., you can consider the option of taking a personal loan. The outstanding balance on the loan is about $80k and with your father's assistance you can pay off almost $60k. The rest of the $20k can be obtained using a personal loan. But the problem is your credit score. With credit score at 530 range, you cannot expect to get any kind of loan in this market. I think you should continue making the mortgage payments just the way you have done so far and once your credit reaches 600-620 mark, you can apply for a new mortgage and pay off the loan.
Thanks for the help!
Hi,
It is really hard to get any loan with a credit score of 530. But, don't worry there are companies who provides loan with a credit score of 580. Keep making payments to the mortgage loan and try to improve your credit score. If you have other loans, try to pay them early and tell the lender to report it to the credit bureau. Once your credit score is 580 apply for a loan.
It is really hard to get any loan with a credit score of 530. But, don't worry there are companies who provides loan with a credit score of 580. Keep making payments to the mortgage loan and try to improve your credit score. If you have other loans, try to pay them early and tell the lender to report it to the credit bureau. Once your credit score is 580 apply for a loan.