How can I obtain financing with a credit score less than 500. I have been renting a house (paying alot) but the house has to be sold as part of the owner’s divorce settlement. I have good income.
It is very tough to get financing with scores under 500. There are some hard money lenders that might finance you but they are called hard money lenders for a reason. i3solutions.net is a credit repair company that works really well.
Hard money lenders will do it but the interest rate will be high.
You can get loans with sub 500 fico they are similar to HML as far as LTV of 65-75% LTV
you might consider using a family member or business associate to buy the home as a NOO and then rent it back to you until you get your scores up again or they can do a land contract or lease option it to you so you do have some options as far keeping the house.
You have three options. Have a relative, or a close friend buy it as either an investment ot an owner-occupied, then quit claim the deed to you.
You can restore your credit ( yes I do have a dear friend who does only that, and she is fast)
There are true subprime lenders that do underwrite loans w/500 score. Of course, the rate will be high, but it is definitely an option