goldkelly Posted March 14, 2005 Author Report Posted March 14, 2005 Hello. I previously posed this question in another forum and was directed to this topic.We are in the process of relocating. Our credit history is not terrific, but it is improving. We were in debt up to our ears and have managed to get rid of almost all of the debt without filing for bankruptcy ... Yippeee!!!! Then I worked on the crdit scores. They are MUCH better now than they were in December.Anyway.Our situation is this:Credit Scores: TU - 602; EQ - 639; EX - 632Yearly Income: $89,000.00Monthly debt: $712.00 (1 credit card and a car payment)CREDIT ISSUES- 3 paid collections (most recently NCO for Bank of America in October, 2004)- 4 late house payments (April and May; September and October) As a sidenote, when I realized we were going to have an issue last year I contacted my mortgage company right away and they worked out a payment agreement with me. What they failed to tell me was that they would be reporting me late. Oh well ...- 1 late car payment in October of 2004.I do alrady have mortgage commitment, however, my rate is 8.375% with a two point buy-down .... this sucks alot, since we're relocating to Florida, where real estate is sky high ... Is this the best rate I can hope for or does this seem kind of high? Are there any recommendations for mortgage brokers in Florida (Ft. Lauderdale area)Thanks for your help.
goldkelly Posted March 14, 2005 Report Posted March 14, 2005 Hello. I previously posed this question in another forum and was directed to this topic.We are in the process of relocating. Our credit history is not terrific, but it is improving. We were in debt up to our ears and have managed to get rid of almost all of the debt without filing for bankruptcy ... Yippeee!!!! Then I worked on the crdit scores. They are MUCH better now than they were in December.Anyway.Our situation is this:Credit Scores: TU - 602; EQ - 639; EX - 632Yearly Income: $89,000.00Monthly debt: $712.00 (1 credit card and a car payment)CREDIT ISSUES- 3 paid collections (most recently NCO for Bank of America in October, 2004)- 4 late house payments (April and May; September and October) As a sidenote, when I realized we were going to have an issue last year I contacted my mortgage company right away and they worked out a payment agreement with me. What they failed to tell me was that they would be reporting me late. Oh well ...- 1 late car payment in October of 2004.I do alrady have mortgage commitment, however, my rate is 8.375% with a two point buy-down .... this sucks alot, since we're relocating to Florida, where real estate is sky high ... Is this the best rate I can hope for or does this seem kind of high? Are there any recommendations for mortgage brokers in Florida (Ft. Lauderdale area)Thanks for your help.
firstsource Posted March 14, 2005 Report Posted March 14, 2005 The main reason for the interest rate is that you are burdened with the mortgage lates. This is saying to the lender/s that you will possibly be late with the new mortgage. I wish that when times get difficult that people would make a priority their car payments and then their house payments, as the credit cards & etc are not so important long term. (The thing is that the credit card companies know this, and so they call 6 times a day, and the home lender only 1 time per week....Anyway, If you have to be late, you did the best way, in that you have what is called 2 rolling lates, not 4 lates. Some times people are late, get caught up ,then late etc, and it could have ended up being 4 lates, which is much worse. YOu should ask the lender to price out an 80/20 loan, as most of the time the rates will "blend" or average to less than the 100% loan rate. Your closing costs will go up a little, but normally it is still worth the two loan route. Charles
goldkelly Posted March 15, 2005 Author Report Posted March 15, 2005 Thanks Charles. I appreciate your response. I'll give my lender a call and see what we can do ...
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