Hello, to everyone reading this post. I have a question for individuals that work in the mortgage/financing/loan industry. What is the range of credit score required to perform a 80%, 90%, or 100% refinance? Can a variable such as available assets supersede the need to have a high credit score to perform refi’s in the percentile ranges I provided?
Wealth, assets can sometimes help you get a better loan depending on the loan and the lender. What are your credit scores? A 580 will get you 100% financing on an owner occupied home in most cases, if you can show enough income.
It all depends on the banks that are used. Generally a high fico score is more important than assets although assets are also important. A high fico means you’re responsible with your money and will pay it back. It doesn’t mean much if you have lots of assets, but a poor history of payment. The less risky the loan, the better the interest rate will be.
Typically you can get a pretty good prime rate if your fico is over 680 on an 80% loan. If you try to go over to 90 to 100, having an even higher fico will get you a lower rate. At a certain point, having too low a score will prevent you from getting a second loan or a refinance, but again, there’s many programs out there and a good mortgage officer might be able to find you one.