Posted on: 28th Apr, 2010 05:41 am
I have perfect credit with the exception of a house I quit claimed to my ex spouse 10 years ago. I have 3 mortgages with BoA and was recently turned down on a refi due to ex wifes payement history. Is there ANY mortgage company that will work with me without charging astronomical interest rates or treating me like a loser?
Hi Richard,
Did you quit claim the house as part of the divorce?
The main issues will be how her payment history affected your credit score, whether or not that mortgage reports 120+ days late or foreclosure started and what type of loan you're applying for.
Did you quit claim the house as part of the divorce?
The main issues will be how her payment history affected your credit score, whether or not that mortgage reports 120+ days late or foreclosure started and what type of loan you're applying for.
I would only be interested in a conventional 15 year.
Her late payment has affefcted my credit score but I can usually get it up to 680+. The problem is that I have been declined due to her lateness.
As far as I know, there has only been 1 120 day late and no forclosure started. Plenty of demand letters though.
Her late payment has affefcted my credit score but I can usually get it up to 680+. The problem is that I have been declined due to her lateness.
As far as I know, there has only been 1 120 day late and no forclosure started. Plenty of demand letters though.
Ok,
Here is what's killing you, the 120 day late on your credit.
Every lender I know of is going to look at the 120 day late and consider it a foreclosure which is going to kick in a new set of guidelines.
For example, FHA guidelines require at least 3 years to pass from the foreclosure before you're eligible for an FHA loan.
You're only hope is if you can document that the house was signed over to your ex due to a divorce order.
The way that I would approach this is by documenting the fact that house was signed over to your ex and that they were responsible for the payments. I would then have you draft a letter of explanation and have you point out the fact that this is the only account on your credit that has any late payments on it and that it;s due to the fact that your ex is the one responsible.
I can't say that it will work but it has worked in the past for some of my clients.
Feel free to contact me if you would like my help.
Here is what's killing you, the 120 day late on your credit.
Every lender I know of is going to look at the 120 day late and consider it a foreclosure which is going to kick in a new set of guidelines.
For example, FHA guidelines require at least 3 years to pass from the foreclosure before you're eligible for an FHA loan.
You're only hope is if you can document that the house was signed over to your ex due to a divorce order.
The way that I would approach this is by documenting the fact that house was signed over to your ex and that they were responsible for the payments. I would then have you draft a letter of explanation and have you point out the fact that this is the only account on your credit that has any late payments on it and that it;s due to the fact that your ex is the one responsible.
I can't say that it will work but it has worked in the past for some of my clients.
Feel free to contact me if you would like my help.
If you can provide a Divorce Decree, provide proof is quit claimed to your ex, and strong letter of explanation; you should be able to get around that.
