matt2402 Posted June 25, 2003 Report Share Posted June 25, 2003 Hi,First of all, thank you for settting up an area dedicated to mortgage questions. That's the key reason why I think a lot of us are here...I know that's why I'm here. I had three defaulted student loans...I know...I was stupid. OK, one of them I rehabilitated and I'm paying off in good standing now. The negative items from the guarantor are gone, but the original Sallie Mae items are still there (DOLA 1997). Another loan was paid off voluntarily in April 2002. The third was paid off by garnishment, and that finished in May 2002. So, it's been over a year since I've been "clean". My scores have improved somewhat (EQ 622, TU 637, EX 661 (MyFico.com scores)).How much will my past problems with student loans be hurting me? I make 85k, my wife makes about 48k. We're in Boston where the housing prices are crazy...looking for something around $350k. My wifes credit is great >700. Our monthly debts include student loans and one car loan, totalling about $900/month. Our montlhy gross income is about 11k.How does this picture look to you? I know it's not all the info you'd need...but any guidance would be great!Thanks Link to comment Share on other sites More sharing options...
firstsource Posted June 26, 2003 Report Share Posted June 26, 2003 Depending on the info that is missing, you can probably qualify for a prime rate loan. If not prime rate, at least from a prime lender, with a rate increase possible, but not near as bad as sub-prime. Depending on your needs, you can also opt into sub-prime or "alt-a' lenders to get a 100% loan. Or an 80/20 combination for 100%. Then if housing prices continue to go nuts there, in 2 years you can re-finance with a prime lender at 95% LTV. Hope that answers your questions. Charles Link to comment Share on other sites More sharing options...
matt2402 Posted June 26, 2003 Author Report Share Posted June 26, 2003 Thanks Charles,I really appreciate your advice. I'd actually be looking for a 95% LTV loan. We've been doing some pretty good savings and we'll have about 30k for down payment and closing costs by September. I was worried I was going to have to go to the sub-prime people like Full Spectrum. I talked to someone at Washingtom Mutual though that felt good about a prime (or at least near prime) loan.Thanks a lot...you're providing a real service here. Link to comment Share on other sites More sharing options...
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