Low Interest Rate After BK

acoustic25 profile photo

Scenario:
I am 21 months out of Ch7 BK with a middle score of 605. I have been pre approved with Wells Fargo for 500,000 doing an 80/20 with varied programs and interest rates. I am selling my home and buying one for 350k and putting 20% down.
Questions:
Who is the best mortgage company/broker to go to in my situation for the lowest Interest Rate?
What are the chances of not being approved when I go to close?
I was considering opening a HELOC at the time of closing, hopefully to do some investing to flip properties. Is this possible/recommended?

Thanks

Comments(1)

  • vasiliy27th June, 2005

    There is no "best" lender out there for everybody. I would recommend to talk to a broker, rather then a direct lender in your situation though, simply because you will have access to more programs. I used to work for wells, and brokering a loan from wells fargo to another investor takes an act of congress.

    As far as HELOC goes - you might want ot wait until your credit scores improve, as HELOCS are much more sensitive to credit scores then 1st mortgages.

    If you were to wait 3 more months, until you are 24 months past discharge of bk, then more options should be available to you then there are now.

    Hope this helps.

    Vasiliy


    Quote:
    On 2005-06-26 13:44, acoustic25 wrote:
    Scenario:
    I am 21 months out of Ch7 BK with a middle score of 605. I have been pre approved with Wells Fargo for 500,000 doing an 80/20 with varied programs and interest rates. I am selling my home and buying one for 350k and putting 20% down.
    Questions:
    Who is the best mortgage company/broker to go to in my situation for the lowest Interest Rate?
    What are the chances of not being approved when I go to close?
    I was considering opening a HELOC at the time of closing, hopefully to do some investing to flip properties. Is this possible/recommended?

    Thanks

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