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Old 03-23-2009, 12:54 PM
 
34 posts, read 254,473 times
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[quote=thechappells;8012516]two years ago, if one had a pulse they were approved for a loan. one of the factors that lead to where we are now.

NOT TRUE...we tried 4 yrs ago and couldn`t get approved(which is a good thing-also other friends tried with a credit score of 630 could not get approved) what led to whats going on today is not people with bad credit is people with OK credit who took on mortgages they couldn`t afford...so you guys can spit out rumors on here but they are not facts...credit always had to be good when it came to purchasing yes guidelines are stricter now than before and you could buy a home with no money down before but it wasn`t people with bad credit that made the mess today...
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Old 03-23-2009, 03:12 PM
 
4,542 posts, read 11,544,610 times
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[quote=mirela26;8012970]
Quote:
Originally Posted by thechappells View Post
two years ago, if one had a pulse they were approved for a loan. one of the factors that lead to where we are now.

NOT TRUE...we tried 4 yrs ago and couldn`t get approved(which is a good thing-also other friends tried with a credit score of 630 could not get approved) what led to whats going on today is not people with bad credit is people with OK credit who took on mortgages they couldn`t afford...so you guys can spit out rumors on here but they are not facts...credit always had to be good when it came to purchasing yes guidelines are stricter now than before and you could buy a home with no money down before but it wasn`t people with bad credit that made the mess today...
2-4 years ago there were people getting approved for mortgages with scores down to 500, which is very low. It seemed to stop there. I never met a lender who would go below 500 although I heard there were some. You have to have very bad credit to get anywhere near 500.

Now just because you were 600 at that time did not mean you were approved. You still had to have other guidelines covered. So, yes you could have been 630 and not been approved. Same as today. There are many factors beyond the FICO.
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Old 03-24-2009, 06:50 AM
 
34 posts, read 254,473 times
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well according to "techappells" : two years ago, if one had a pulse they were approved for a loan. one of the factors that lead to where we are now....meaning the people with messed up credit got us into the mess we are today...i just simply cannot agree with that because fact is that people with bad credit couldn`t get approved for a loan when this whole mess started...so it isn`t them rather the people with good credit who went over their heads on mortgages they couldn`t afford...i don`t care if anyone approves me for a $1 mil loan i won`t take it because i don`t want to pay more than what i`m paying for rent now...that way come bad times for me i`d still have savings behind my back so yes i`m now in the low 600 credit score but i`m not part of the bad situation everyone else is...
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Old 03-24-2009, 06:58 AM
 
Location: somewhere in the woods
16,886 posts, read 12,536,143 times
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Originally Posted by Desertrose34 View Post
Okay so we got preapproved a month ago. My hubbys scores are higher but my mid score is 608. WHich they said was fine. fha only wants 580 or better. The house we want finally went on the market. So we want to make an offer yesterday and the broker tells us they just in the past day or two got emails from two banks saying that now they want 620 or better!

And that most banks will now be following suit. I am pretty upset. Has anyone else heard of this?

the bank did not want to approve my loan for buying a foreclosed home with me putting 40% down on it to rent out. I told them ok and just paid for the entire amount and transferred all my money to another bank.
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Old 03-24-2009, 07:22 PM
 
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Originally Posted by monkeywrenching View Post
the bank did not want to approve my loan for buying a foreclosed home with me putting 40% down on it to rent out. I told them ok and just paid for the entire amount and transferred all my money to another bank.
Unless you are threatening to transfer more than 1 million out of all of their accounts (investments, money markets, cds, etc), most big national banks won't care. It's sad. But that's the state of banking these days.

I get better service with Vanguard's Select Services because the majority of my money is kept there. While I'm also enrolled in Bank of America's Premier banking service. BOA wasn't even close in matching my mortgage broker's rate quotes. They were at least 0.25% off even with my preferred rates. The BOA client adviser flat out told me that my 300K in BOA's account wasn't enough....I'm thinking he was trying to get me to pull most of my money from Vanguard over to BOA.

My sister and brother in law have more than 3 million in assets at BOA got them to match the mortgage broker's rates for her refinance last week. I assume they value them as customers more than me.
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Old 03-24-2009, 09:31 PM
 
Location: I think my user name clarifies that.
8,293 posts, read 22,453,494 times
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Quote:
Originally Posted by monkeywrenching View Post
the bank did not want to approve my loan for buying a foreclosed home with me putting 40% down on it to rent out. I told them ok and just paid for the entire amount and transferred all my money to another bank.
Mortgage loans for Non Owner Occupied homes are an entirely different animal than for a house you're going to live in. In those situations, banks typically require a 25% downpayment. In addition, the closing costs are higher, buy-down points come into play, and the interest rate is often higher.

My experience is that it's just an altogether different set of rules, and rightly so.
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