November 19th, 2010 11:23 AM by Eric Fang
Q: I have 300k loan with LTV 75%. But my credit score is only 640. What's the best rate I can have?
A: Your main problem is your credit score. Compared to the credit score of 720 or above, Fannie Mae Charges 2.25 points, which will make the no closing cost loan impossible for you and your rate will be around 0.5% to 0.75% higher than 720 credit score plus closing cost.
My suggestion is: fix the credit score. I noticed that you have a HELOC.And you just paid it off. Your credit score will be better in about one month. Let's check the credit score in about 2 months. You should be able to get much better rates.