Traditionally, no however this does a vary on a per lender basis. Short answer, not all mortgage lenders have the same credit characteristics or guidelines. Fannie Mae and Freddie Mac do have set guidelines that lenders are required to follow. While this holds true, sometimes depending on how well capitalized your lender is and whether not your lender is a bank or a direct lender, has some influence, many mortgage companies have additional credit characteristics that go above and beyond Fannie Mae in terms of how they originate and successfully fund loans.
Ironically, the big banks have some of the most stringent guidelines available, due to the fact they don’t specialize in mortgages. These banking institutions might have separate units or divisions that specializes in mortgages, but the bank as a whole deals with all sorts of credit products, including mortgage loans, credit cards, personal loans and depository accounts, as such, they’re focused on the big banking picture rather than in a niche, i.e. residential mortgages.
Direct lenders also called correspondent lenders, specialize in mortgage loan origination. These companies may still have additional credit characteristics beyond the guidelines of Fannie Mae and Freddie Mac however such a company is more likely to get a tougher transaction done.
*The majority of lenders alike are going to look at a house payment late in the last 12 months as a substantial obstacle. If a lender is to overlook something as strong as a delinquency especially in the last 12 months, other what called compensating factors would be examined to essentially offset the negative housing rating. Such compensating factors include more than 20% down payment, a credit score 740 or higher, a very low debt to income ratio, significant reserves in the bank such as 12 months worth of mortgage payments in the bank or more.
If you want to buy a house and have had a rent payment late, we can potentially get you qualified, and if we can’t, we can tell you when you will get qualified for later on down the road.
