What range does your credit score need to be in to be approved for a $150k house? Just looking for estimate..

Currently hovering in the mid-600's and was told by a friend who is a mortgage broker that he could put me in $150 house easy with a score in that range. I guess I'm more interested in knowing if he is blowing smoke up my butt....or if I get a loan..will I be screwed on my mortgage. I don't want my credit run over and over for estimates. I know that tends to hurt it over time.

Public Comments

1. There are ways to get you approved even if you ahve a low credit score. But to get the best rates a really good credit score is between 700-800
2. it will certainly have to be above 520 but to get the best rate over 700 would be better.
3. Credit score is only one part of the puzzle. When banks or loaning institutuions are looking to loan money, they look at four main factors: 1. Your credit score 2. Your income 3. Your debt 4. Your liquid assets You could have an awesome credit score, but if those other three factors are unfavorable, you'll not get the loan you want. Make sure that in your excitement to get your loan, you have an independent attorney who specializes in bankruptcy look at the terms of the mortgage. Bad mortgages often force people into very bad financial situations, and it is always better to have taken the time to see the attorney before you sign those papers.
4. The best loans go to those with scores over 720. Usually the advertised rates are for those borrowers. If your score is in the mid-600 range, you should easily qualify, but the rate will likely be 0.25-.5% more than the advertised rates. You won't be "hosed" as you say. Also, shopping around for mortgage lenders won't hurt your score. Multiple inquiries from the same type of lender, i.e. a home or auto lender in a one month period are bundled together so it only looks like one inquiry was ever made. You aren't penalized for shopping around for the best rate.
5. More is evaulated that just your credit score like: income # of yrs on job debt/income ratio etc... I'd say you could possibly get approved in for the price range you're considering, depending on your income and down payment. The market has changed for subprime lending recently, but the mid 600's should have you out of that range. Also you can shop around for two weeks for a mortgage loan and it only affect your fico score as one inquiry...no matter how many times your score is viewed. So go ahead shop around its best to know so that you can prepare.