Connecticut Bad Credit Home Loans
There are Bad Credit Home Loans available in Connecticut. Most people today think in order to refinance or buy a home they need to have high credit scores and a perfect credit history. In today’s mortgage world, loans are available for those who have low credit scores and some blemishes in their credit history.
FHA will allow borrowers to have fico scores below 600. In addition, you can even have had a bankruptcy as long as it is over 2 years old. You can also have small charge offs and judgments. They typically will need to be paid before you are able to close.
FHA also has second chance programs for those who had bankruptcies or a foreclosure due to loss of job or income. You will need to document the events leading up to the event and show at least a 20% drop in income. If you are able to show this you may be eligible to buy a house or refinance after just 12 months from the loss date.
Other Options
USDA is a 100% purchase programs that will allow borrowers to have credit scores as low as a 640 and in some cases 620. This program also allows for minor blemishes on credit. Yet, you may have to pay off collections and judgments before closing.
VA loans are for our veterans and are 100% loans for either a purchase or a refinance. Again in some case scores can be as low as a 580. If you are looking to refinance your VA loan you may not even need to have an appraisal.
Lastly, for those who have scores and credit that prevent you from buying you may be able to take certain steps that will put you in a position to raise your score. In some cases removing old collections and judgments from your credit report can really help. Typically, this is done with a credit counselor who can help you with your past due accounts and develop a game plan to put you in a position to buy a home.
Please call me today for a free consultation on what bad credit home loan options are available.
Craig Thibeau
Senior Loan Officer
North East Financial Middletown, CT
Ph 860-334-1354
NMLS 398576 Company NMLS 117273
craig@northeast-mortgage.com
www.northeast-mortgage.com
