Can I change my conventional mortgage loan to a FHA loan?
I actually am rather fit to answer that question as I’m refinancing into an FHA myself right now. The minimum credit score for FHA is 600. You may find SOME more liberal companies that can push it to 580, but other than that, you’re honestly out of luck. Also, to get an FHA, you’d probably be required to get enough cash out of your equity to pay off any debts in collections – I’m only speculating here, but if you’re at a 530, I’d imagine there may be more dollars in collection than there are in equity. I wish you good luck, and if you click the e-mail link in my profile, I can refer you to some AWESOME FHA brokers, but honestly, I wouldn’t get your hopes up. I only was able to get 12% two years ago (in a MUCH BETTER lending market) with a 549, hence why I’m refiing now. The one thing you have on your side is the amount of “bailout’ legislation due to the “sub-prime” crisis – look into it, I think the gov may be FORCING banks to work with lenders who are haveing trouble affording their
