Hello Sir/Mam first off just want to say thank you for stoping by and giving my story a look through and offering any advice.
So here is my situation. I am 25yrs old, Married, 2yr old son, been in the Army NG for 7yrs and my family means everything to me. I am currently deployed in Afghanistan right now and have 2-3 more weeks till we are stateside back in Ft. Bliss for Demob and back home in Arizona for good.
My wife and I are currently deciding to buy our 1st home with usaa home advantage and are looking for advice in this department. My credit score to start off with is not the best and i believe i dont have any cedit established being that i have always been a pay in cash kinda guy. while being deployed however i have been able to save over 50k being that i have always been good with saving money. Knowing that i might have to put down a down payment i believe im covered in that area and i have heard of the Va Home Loan for first time home buyers so i believe i can qualify for that.
I am asking for help to see what our options are in this situation? i know our credit is not the best and not at all at 620 but with money saved up, can that offer us any doors to be open for us being that we are first time home buyers? i know i dont have any outstanding debt, car is paid off, and employment history is great. Any advice from anyone would be great help being that we are new to this so please we offer all suggestions. Thank you for your time.
DO NOT USE MILITARY FAMILY HOME LOANS! DO NOT USE USAA AT ALL!
I'm a first-time buyer too, in the process of securing a home loan. I've been a loyal USAA members for 15+ years, with stellar credit and money saved up, and have made an offer way below what MFHL pre-approved me for. This means NOTHING to USAA and their affiliates. I love their banking services, but their home loans are a WASTE OF YOUR TIME AND MONEY.
My advice is to find a LOCAL LENDER in Arizona where you are looking to buy. Local banks (not nation-wide chain-banks) are a great place to start. They will, in most cases, see you as a REAL PERSON and work with you to get you a loan. It's is everyone's best interest to loan you money. Ask for a fixed-rate loan. With as much money as you have saved, you will be able to put down much more than the usual 5%. The local lender will also know whether it's in your best interest to get a credit card now or not. This will help you build a credit score, and you only need to use the card once in awhile, such as using it only to fill up at the gas station. I've heard that no credit is worse than bad credit, so it might be worth it for your wife to find a local bank now and ask about getting a card in anticipation of seeking a home loan.
I hope you find this helpful. I repeat, Military Family Home Loans are HORRIBLE. (Unprofessional, lack of understanding of standard mortgage practices, and even got basic information wrong, like my GENDER. Felt like I was on a slow-moving, broken carousel, going nowhere.) And since USAA quickly pushed me off onto them, rather than actually attempting to work with me on a Home Advantage loan, I would stay away from them too.
I need to echo Epock's opinion.
I have never had a mortgage through USAA, but in my position I come in contact with a great number of personnel who have either used or tried to use USAA for mortgages and I have *never* heard a positive story. I believe their mortgage business is outsourced and USAA exercises poor oversight on quality controls.
That said, everything else USAA does is stellar.