+1 vote
First time home buyer with 20000 for down payment.
asked Dec 29, 2017 in USDA Loans by Rhonda

2 Answers

+1 vote
You do not state how low your credit score is. USDA loans, in most (but not all) cases, require at least a 640 FICO score. However, USDA loans require no down payment, and you have money for that. You might qualify for FHA financing.

FHA loans allow lower credit scores and will finance buyers in Chapter 13 bankruptcies if they have been in the plan at least 12 months, made payments on time, meet FHA underwriting standards, and get the approval of the bankruptcy court.

Good luck, and thank you for writing.
answered Dec 29, 2017 by GinaPogol (47,650 points)
0 votes
FHA and VA LOANS are the only loan programs that allow borrowers to qualify for home loans during active Chapter 13 Bankruptcy Repayment Plans.
We can do USDA LOANS with 580 credit scores but not during Chapter 13 Bankruptcy Repayment Plan. You can qualify for FHA LOAN with 3.5% down payment with 580 credit scores.  Needs to be manual underwriting.

Gustan Cho NMLS 873293
The Gustan Cho Team at USA MORTGAGE
www.gustancho.com
answered Feb 6, 2018 by GustanCho (106,540 points)

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