Credit score of 520 but home is paid off. What are my chances of getting a home equity loan?

Lauren. Unfortunately with a credit score of 520 you are going to have a difficult time getting a loan. Because your loan to home value will be less than 20%, your local credit union or bank might be willing to look at your situation. The other thing they will look at is your debt to income ratio. You should also consider credit repair. Sometimes you can do some simple things to raise your scores. I have a credit repair company in Utah that does a good job. If you are interested, contact me at linda@lindamillergroup.com. Good luck.

Generally, the lowest is probably around 600 for a home equity loan. There are some lenders that will make a FHA loan with that score but getting approved will not be easy even with so much equity in the home. So, I agree with Linda - the only lender that might consider a loan to you with that score is probably a finance company where you will be offered a high rate and/or fees for any loan. Your best option is to work to improve your score first. Often simply paying down credit cards and/or recent collections can make a huge difference.

More info is needed, but pretty much, there is no conforming loan product that would work for you scenario.. with a 520 credit score, this would mean you have some pretty severe credit deficiencies, and you probably have a proven track record of not paying your bills on time, plus lenders are not in the "Real Estate" Business. they are in the money business.. and the only way it works is if the borrower pays on time.. so, if your seriouslly looking for loan options now, the only loan product would be a Hard Money Loan.. but expect the loan to be very costly.. 5 to 8 points upfront plus I've seen rates as high as 15% or more.. Your far better off contacting a local credit restoration company and see what it would take to improve your credit scores so you can qualify for a conforming loan product. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

We can definitely help you, I would need some additional information. What is the home worth? Do you happen to know your credit score? My email address is: jeffflitton@leader1.comThanks