Home Credit Score

home credit score

Buy a house in Florida with NO credit score!

Buy a house in Florida with NO credit score!

FHA housing loans were created to help increase homeownership. homebuyers in Florida without a credit score can qualify for financing FHA using nontraditional credit as a way to show the lender of their willingness and ability to make monthly payments in the shortest time possible.

Evaluation non-traditional credit

When Florida mortgage lenders evaluate a borrowers nontraditional credit histories, a history of satisfactory payment of at least 12 months must include the following.

  • No history of delinquency in payment of rental housing in Florida
  • No more than one day delinquency on payments 30 due to other creditors, and
  • No accounts receivable / Indoor presentation results reporting (other than medical) filed within the past 12 months.

Evaluation of the Florida Home buyers with insufficient Credit

When evaluating borrowers with no credit references, or having only Group II references below, a credit history satisfactory, at least 12 months, must include one of the following:

Group Number

Types credit references

Group I

  • Rental payments of housing (subject to independent verification if the borrower is a tenant)
  • utility company reference (if not included in the payment of rental housing), including
    • gas
    • electricity
    • water
    • Fixed line home phone service, and
    • Cable TV.

Note: If the borrower is renting from a family member, request independent documents to prove regularity of payments such as canceled checks.

Group II

  • Insurance coverage (eg, medical, auto, life, renter's insurance (not payroll deducted)
  • payment to child care providers – made to a service provider such
  • schooling
  • Retail Stores – Department Stores furniture, appliance stores, specialty shops
  • rent to own – (for example, furniture, appliances)
  • payment of part of medical expenses not covered by insurance
  • Internet / mobile services
  • a documented history of 12 months on deposits regular savings (at least quarterly / non-payroll deducted / no bad checks reflected), resulting in an increasing balance of the account
  • rental cars or
  • a personal loan from an individual with the payment terms in writing and with the support of canceled checks to document the payments.
  • no more than 30 days delinquent in payments due to a reference of the Group II and
  • no accounts receivable / Indoor reporting results (which non-medical) filed within the past 12 months.

Guide to Securing mortgage Florida to poor credit applicants

To improve the likelihood of sustainable homeownership for borrowers with histories insufficient credit, under the guidance of insurance is provided.

  • Qualifying ratios are to be calculated only on the occupants property and the obligation of the loan, and may not exceed 31 percent for admission to list of payments and 43 percent for total debt-to-income ratio. Compensating factors do not apply to borrowers with insufficient credit references.
  • Borrowers should have two months of cash reserves after mortgage payment from their own funds (no cash gifts from any source should be counted in the cash reserves for borrowers in this category.)

About the Author

Thomas Martin Florida FHA Mortgage Programs http://www.fhamortgageprograms.com/florida/ Serving all Florida Communities including: Arcadia :: Boca Raton :: Boynton Beach :: Bradenton :: Brandon :: Cape Coral :: Clearwater :: Clewiston:: Crestview :: Daytona Beach :: Deerfield Beach :: Deland :: Delray Beach :: Deltona :: Destin :: Englewood::Fort Pierce :: Ft. Lauderdale :: Ft. Myers :: Ft. Walton Beach :: Gainesville :: Hollywood :: Homosassa:: Springs::Jacksonville :: Key West :: Kissimmee :: Lake City :: Lakeland :: Lynn Haven :: Marathon :: Marco Island:: Melbourne :: Miami :: Miami Beach :: North Fort Myers :: North Miami Beach :: Naples :: Ocala :: Okeechobee:: Orlando :: Ormond Beach :: Osprey :: Palatka :: Palm Bay :: Palm Beach :: Palm Coast :: Panama City :: Pensacola:: Pompano Beach :: Port St. Lucie :: Punta Gorda :: Santa Rosa :: Sarasota :: Sebastian :: Sebring :: Springhill:: St. Augustine :: St. Petersburg :: Tallahassee :: Tampa :: The Villages :: Titusville :: Venice :: Vero Beach:: Wauchula :: Wesley Chapel :: West Palm Beach :: Winter Park

Credit Ratings & Bad Credit : How to Buy a House With a Bad Credit Score


December 17th, 2003 in Mortgages | tags: , , , , ,

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