BestOfMe Posted April 9, 2004 Report Share Posted April 9, 2004 My fiance's mid-score is about 640. His only derog is an installment loan that was 120 days late at one point, but is now current and has been current for over a year. His only other debt is a student loan that is in deferrment. He has a credit card that has about $200 balance right now and has never been late. He has only held his current job for 4 months. He was employed by his previous company for 5 years and there was no unemployment, went from one job right to the next.My mid-score is 570 and am self-employed.Fiance's income is too low to get the conventional mortgage we need by himself. My scores are low, and being self-employed I have had to deduct a lot of expenses from my taxes, making it appear that I'm not making as much money as I really am.Can fiance qualify for a no-doc or something similar, without me? He has about $8000 in various assets (401k, stock, savings) in his name. We'd really like to get 100% financing. We're looking for a mortgage of about $125,000, maybe a little less.Does anyone know if he would qualify for this? Thanks! Link to comment Share on other sites More sharing options...
legend Posted April 9, 2004 Report Share Posted April 9, 2004 Yes you certainly can go STATED. Everyday more and more small business are opened, and so for the reasons you stated ie: writing off as much as possible has opened up the whole stated program availability . Link to comment Share on other sites More sharing options...
BestOfMe Posted April 9, 2004 Author Report Share Posted April 9, 2004 Thank you Legend! Can my fiance get a stated loan even though he is not self-employed? Since his scores are much higher, I'd like to keep me off the loan if possible.If so, what documentation will he need? Link to comment Share on other sites More sharing options...
BestOfMe Posted April 9, 2004 Author Report Share Posted April 9, 2004 Never mind. Here is something I found online about Stated Income Loans:Some general guidelines for a Stated Income Mortgage Loan.Minimum middle credit score is 640 5 credit accounts are required. 3 may be from alternative sources-utility, auto insurance, etc. Bankruptcy and foreclosures must be discharged for 3 years with reestablished credit Two years employment with same employer Two months PITI reserves are required with an LTV <=80%. 6 months reserves are required otherwise. 5% minimum down payment is required from your own funds. No gifts. ***********'Given these requirements, I'm not sure we can do it. He's got a new job (4 months) and we can't do a 5% down payment without depleting our reserves. Oh well. Back to the drawing board! Link to comment Share on other sites More sharing options...
Crabjoe Posted April 15, 2004 Report Share Posted April 15, 2004 The requirements differ based on the lenders program. My credit score is in the 700's and my broker had a stated income/asset program that gave the same rate as full doc fixed based on my score. I went with it as I didn't want to go thru the trouble of digging up all the documentation.When I questioned him about the requirements, I was told that his lender, which happened to be Countrywide, only required a score of 730 to qualify, 3 open credit accounts but no reserve.Before I went with him, I was calling around about different programs and some wanted 7 months of reserve. So it helps to shop around.Keep looking for what you need and you will find it.Good Luck!! Link to comment Share on other sites More sharing options...
firstsource Posted April 20, 2004 Report Share Posted April 20, 2004 One thing to consider is this. You can get a loan based on his score, as long as he makes 52% of the household income or more. Since you are self employed, and deduct your expenses, start spending more money developing your business and you may be making less than he does. I think that you can probably get a 100% loan.Charles Link to comment Share on other sites More sharing options...
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