Posted on: 05th Aug, 2009 02:14 am
I currently have an old DW mobile home on a large lot. I own both outright. Would like to purchase a newer home to replace my old one using my land as down payment. My credit score is under 600. Any suggestions?
Hi,
Getting a mobile home loan using your land as collateral will not be easy in this economy. You need to come up with some money from your own source to make the down payment. FHA loans require only 3.5% down payment. Other conventional loans need more money in down payment. However, the credit score required to get a FHA loan,or any loan for that matter, is 620. You need to improve your credit score to at least 620 in order to be able to qualify for a loan.
Getting a mobile home loan using your land as collateral will not be easy in this economy. You need to come up with some money from your own source to make the down payment. FHA loans require only 3.5% down payment. Other conventional loans need more money in down payment. However, the credit score required to get a FHA loan,or any loan for that matter, is 620. You need to improve your credit score to at least 620 in order to be able to qualify for a loan.
First of all, you need to improve your credit score up to 620 so that you can qualify for FHA loan... And lenders require you to arrange some money from your own sources... Simply providing your land as collateral will not serve the purpose....