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Contributor
I have a low FICO score... very low. I'm slowly rebuilding it, but it will take a lot of time. I know purchasing a home in this situation isn't the best idea. But I am curious, is it possible (specifically with USAA, but other lenders are definitely on the table), to get a co-signer that is non VA eligible that has a much better score on the mortgage until I build my score enough to refinance or something along those lines. Thank you.

2 REPLIES

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It's not that this 'isn't the best idea', it is the absolute worst idea. You can't simultaneously try to rebuild your credit but get around that by having someone cosign a loan for you so you can still buy a house. If you were to accomplish this the interest rate on the loan would be so high you probably would end up paying $50-$100,000 more over the course of the loan. To talk about buying a home and then refinancing when your credit score goes up shows you are not really serious about changing. It's an idea full of holes.

If you made one mistake, not only would the whole thing fall apart but you would jeopardize your cosigner because they would then be responsible for your loan.

That is classically what people who have made poor credit decisions do - talk about changing their ways and at the same time hatch a scheme to get what they want, with lofty but poorly defined plans. Try to pin them down and they get very vague about numbers.

Sit down with a credit counselor and make a real budget with hard numbers. It would be good if you could save 15-25% of your income or do that once you pay off your (hopefully consolidated) debts, however many years it may take.
If you can't do that, you should not buy a house. Owning a home can be a money pit and you better have enough money saved to be able to handle it.

Sorry if you think my comment is harsh, but you need to be in a MUCH better position before considering any major purchase.
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My credit score was really low also I am working with Veterans United they have a free service and guidance to help raise your score. Have you looked at your credit report. We have credit monitoring services through USAA.